141k views
4 votes
A predecessor auditor should complete the following before reissuing a report on statements presented on a comparative basis:

a. Read the financial statements of the current period.
b. Read the financial statements of the past five years.
c. Obtain a letter of representations from the current-year, successor auditor.
d. Both a and c.

User Long Short
by
8.5k points

1 Answer

4 votes

Final answer:

A predecessor auditor should complete steps a and c before reissuing a report on comparative financial statements.

Step-by-step explanation:

The subject of this question is Accounting and the grade level is College.

Based on the given options, the correct answer is d. Both a and c.

A predecessor auditor should complete several steps before reissuing a report on statements presented on a comparative basis. This includes reading the financial statements of the current period (option a) to ensure they are accurate. They should also obtain a letter of representations from the current-year, successor auditor (option c) to gain assurance on the reliability of the current financial statements. Therefore, both options a and c should be completed before reissuing a report on comparative financial statements.

User GoodDeeds
by
8.1k points