There are two types of events of interest to the auditor
A)subsequently discovered events
B)prior period events
C)subsequent events
D)current period events
E)subsequently discovered facts
F)both A and B
G)both C and E
H)both D and E

Question

Quizplus · Accepted Answer

Subsequent events refer to events or transactions occurring after the balance sheet date but before the financial statements are authorized for issue. Subsequently discovered facts refer to information that becomes available after the date of the auditor's report but existed at the balance sheet date. Therefore, the events of interest to the auditor are both subsequent events and subsequently discovered facts. Prior period events and current period events are not relevant to the events of interest to the auditor in this context.

There Are Two Types of Events of Interest to the Auditor