When auditing only a single financial statement or a specific element, account, or item of a financial statement, the auditor will have a better understanding of the entity than if the auditor audited the entity's complete set of financial statements.

Question

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When auditing only a single financial statement or a specific element, account, or item of a financial statement, the auditor may miss important information that is presented elsewhere in the financial statements. Auditing the complete set of financial statements provides a more complete understanding of the entity's financial position and performance.

When Auditing Only a Single Financial Statement or a Specific