Which of the following statements regarding distribution of financial information is not true?
A)A company does not issue a press release containing financial data until the data have been checked by management.
B)Company filings with the SEC,such as Forms 10-K and 10-Q,are available to the public.
C)SEC filings are available to the public after they are received by the SEC's EDGAR service.
D)An audit involves an examination of every transaction that occurred during the year by an independent auditor.

Question

Quizplus · Accepted Answer

An audit does not involve an examination of every transaction that occurred during the year. Instead, the auditor performs various procedures based on the level of assurance required and the assessed risk of material misstatements in the financial statements.

Which of the Following Statements Regarding Distribution of Financial Information