Final answer:
The correct answer is C) Can be expressed in dollar amounts or percentages of total assets, total revenues, or other appropriate criteria.
Step-by-step explanation:
The portion of the consolidated financial statements audited by the component auditor can be expressed in both dollar amounts and percentages of total assets, total revenues, or other relevant criteria. This allows for a comprehensive analysis of the financial performance and position of the company.
For example, the component auditor may present the audit findings in terms of dollar amounts to highlight the specific financial impact of certain transactions or events. On the other hand, percentages of total assets or revenues can provide valuable insights into the relative significance of different items within the financial statements.
It's important to note that the component auditor's work should not be relied on to the same extent as the group auditor (option D). The group auditor is responsible for overseeing and evaluating the component auditor's work and forming an independent opinion on the consolidated financial statements.