Which of the Following Statements Is True About an Audit

Multiple Choice

Which of the following statements is true about an audit?

A) Only an independent CPA must perform an audit.
B) An auditor may use the accounting standards defined by his or her accounting firm to perform an audit.
C) Verifying information from third parties is not a necessary step in an audit.
D) The process of preparing a company's annual financial statements is called auditing.