Preparing financial statements for external users costs large entities:
A) nothing, as all charges are reimbursed by the government.
B) very little, as the statements are quite simple to prepare.
C) a significant amount.
D) varying amounts depending on the year in question.

Question

Quizplus · Accepted Answer

Large entities need to hire professional accountants, auditors, and other financial experts to prepare their financial statements, which can be a complicated process. This can cost a significant amount of money.

Preparing Financial Statements for External Users Costs Large Entities