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Audits of State and Local Governments
book

Audits of State and Local Governments

by Jack F. Georger
April 2018
Intermediate to advanced content levelIntermediate to advanced
272 pages
7h 7m
English
Wiley
Content preview from Audits of State and Local Governments

Chapter 9 REPORTING ON THE AUDITS OF GOVERNMENTAL FINANCIAL STATEMENTS

LEARNING OBJECTIVES

After completing this chapter, you should be able to do the following:

  • Identify the components of the basic financial statements of a governmental entity.
  • Identify reasons for opinion modification in the auditors' report.
  • Recognize auditors' requirements for required supplementary information, supplementary information, and other information.

BASIC FINANCIAL STATEMENTS

The auditor's standard report on a government's basic financial statements states that the financial statements present fairly (in all material respects) the financial position, changes in financial position, and (where applicable) cash flows of each opinion unit in those financial statements in conformity with GAAP. (The following information discusses changes to the standard report if the basic financial statements contain a single opinion unit.) The basic elements of the standard report are listed in paragraphs .23—.41 of AU-C section 7001 and include

  • a title that includes the word independent;
  • the addressee;
  • an introductory paragraph;
  • a section with the heading “Management's Responsibility for the Financial Statements”;
  • a section with the heading “Auditor's Responsibility”;
  • a section with the heading “Opinion”;
  • when applicable, a section subtitled “Report on Other Legal and Regulatory Requirements”;
  • signature of the auditor; and
  • the date of the auditor's report.

The auditor's report should also ...

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Publisher Resources

ISBN: 9781119508090Purchase book