Which event that occurred after the end of the fiscal year under audit but prior to issuance of the auditor's report would not require disclosure in the financial statements?
A) sale of a bond or capital stock issue
B) loss of plant or inventories as a result of fire or flood
C) a significant decline in the market price of the corporation's stock
D) a merger or acquisition

Question

Quizplus · Accepted Answer

A significant decline in the market price of the corporation's stock is considered a market-driven event that affects investor perceptions but does not directly impact the company's financial position or performance as of the balance sheet date. Therefore, it typically does not require disclosure in the financial statements for the period under audit.

Which Event That Occurred After the End of the Fiscal