Audits of financial statements are performed by:
A)The controller of the reporting company.
B)The Financial Accounting Standards Board (FASB).
C)The management of the reporting company.
D)Independent certified public accountants (CPAs).

Question

Quizplus · Accepted Answer

Audits of financial statements are performed by independent certified public accountants (CPAs) as they provide an external and unbiased opinion on the financial statements of a reporting company. The other options, such as the controller of the reporting company and the Financial Accounting Standards Board (FASB), do not have the necessary independence and objectivity needed for a financial statement audit. While the management of the reporting company may prepare the financial statements, it is important to have them audited by independent CPAs to ensure the accuracy and reliability of the financial information provided.

Audits of Financial Statements Are Performed By