SPF

Question 1

When auditing a client that uses the Cash Basis of accounting, which of the following paragraphs are required, if any?

1. Emphasis-of-matter
2. Other matter

Answer 1

1. Emphasis-of-matter: YES - alert readers about SPF
2. Other matter: NO - NOT RESTRICTED USE

Question 2

When auditing a client that uses the Tax Basis of accounting, which of the following paragraphs are required, if any?

1. Emphasis-of-matter
2. Other matter

Answer 2

1. Emphasis-of-matter: YES - alert readers about SPF
2. Other matter: NO - NOT RESTRICTED USE

Question 3

When auditing a client that uses the Regulatory Basis (single opinion on SPF only) of accounting, which of the following paragraphs are required, if any?

1. Emphasis-of-matter
2. Other matter

Answer 3

1. Emphasis-of-matter: YES - alert readers about SPF
2. Other matter: YES - RESTRICTED USE REQUIRED

Question 4

When auditing a client that uses the Regulatory Basis (Dual opinion on SPF and GAAP) of accounting, which of the following paragraphs are required, if any?

1. Emphasis-of-matter
2. Other matter

Answer 4

1. Emphasis-of-matter: NO
2. Other matter: NO

Question 5

When auditing a client that uses the Contractual Basis of accounting, which of the following paragraphs are required, if any?

1. Emphasis-of-matter
2. Other matter

Answer 5

1. Emphasis-of-matter: YES - alert readers about SPF
2. Other matter: YES - RESTRICTED USE REQUIRED

Question 6

When auditing a client that uses the Other Basis of accounting (non GAAP), which of the following paragraphs are required, if any?

1. Emphasis-of-matter
2. Other matter

Answer 6

1. Emphasis-of-matter: YES - alert readers about SPF
2. Other matter: YES - Restricted is measurement of disclosure is suitable for only specific users

Question 7

When auditing a client that uses the IFRS Basis of accounting, which of the following paragraphs are required, if any?

1. Emphasis-of-matter
2. Other matter

Answer 7

No to both

IFRS (International Financial Reporting Standards) is a general purpose financial reporting framework used globally, not a special purpose framework.