Accounting services that improve the quality of information provided to the decision maker, an audit being the most common type of this service, is called:
A)Compliance services
B)Assurance services
C)Substantive services
D)Operational services

Question

Quizplus · Accepted Answer

Assurance services provide a level of confidence to decision makers regarding the quality and reliability of financial information. Audits are one of the most common types of assurance services, but other examples include reviews and agreed-upon procedures. Compliance services, on the other hand, focus on ensuring that an organization is meeting its legal and regulatory obligations, while substantive services involve specific testing and analysis of financial transactions. Operational services relate more to the day-to-day management of a business, such as budgeting and forecasting.

Accounting Services That Improve the Quality of Information Provided to the Decision