The most likely uses of the financial statements can be determined from:
A) previous experience with the auditee and discussions with management.
B) inquiries with ASIC and the ASX.
C) reviewing the terms of the engagement as set out in the engagement letter.
D) reviewing the minutes of meetings.

Question

Quizplus · Accepted Answer

Previous experience with the auditee and discussions with management would provide insights into the company's operations, business objectives, and potential uses of financial statements. Inquiries with ASIC and the ASX may provide regulatory information but not necessarily indications of the likely uses of financial statements. Reviewing the terms of the engagement and the minutes of meetings may not necessarily provide a clear understanding of the likely uses of financial statements.

The Most Likely Uses of the Financial Statements Can Be