Ethical Obligations and Decision-Making in Accounting 2nd Edition by Steven Mintz, Roselyn Morris

Exercise 17

Give two examples of “forward-looking” information and why they are considered to be important enough to include in the MD&A. What are the auditor’s professional and ethical responsibilities to audit such information?

Step 1 of 2

Audit:

The audit is defined as a systematic examination of books of accounts of an individual or an organization.

Auditor:

Auditing is done by the professional CPA; we call them auditors. At the end of the accounting period when all the books of accounts are closed, an auditor ensures all the entries recorded in the books of accounts are accurate as required in the law.