- 6 Marks
Question
Auditors performing an audit in accordance with statutory requirements are required to issue a report that gives “a true and fair view” of the Financial Statements audited. Required:
Outline FOUR (4) implications of the term “true and fair” in audited financial statements.
Answer
The term “True and Fair” on an audited Financial Statements imply:
- Compliance with any relevant legislation and accounting standards.
- The use of accurate figures or best possible estimates.
- Meaningful presentation and disclosure of information.
- The avoidance of bias, distortion and manipulation of figures.
- No concealment of material information.
- Tags: Compliance, Financial Statements, Presentation, True and Fair View
- Level: Level 3
- Topic: The meaning of audit and assurance
- Series: DEC 2023
- Uploader: Kwame Aikins