Before the impact of adjusting entries proposed by auditors are included in the client's financial statements, the adjustments must be approved by the
A)client's management.
B)audit manager.
C)engagement partner.
D)engagement quality review partner.

Question

Quizplus · Accepted Answer

The client's management is responsible for approving the adjusting entries proposed by the auditors before they are included in the financial statements. The audit manager, engagement partner, and engagement quality review partner may review and supervise the adjustments, but ultimately it is the responsibility of the client's management to approve them.

Before the Impact of Adjusting Entries Proposed by Auditors Are