When the audited financial report of the prior year is presented together with those of the current year, the continuing auditor's report covers:
A)only the current year.
B)both years.
C)only the current year, but the prior year's report should be referred to.
D)only the current year, but the prior year's report should be presented.

Question

Quizplus · Accepted Answer

The continuing auditor's report covers both years when the audited financial report of the prior year is presented together with those of the current year. This is because the continuing auditor has audited both years and the report should cover all audited periods.

When the Audited Financial Report of the Prior Year Is