Which of the following statements about external auditors is not correct?
A、External auditors are appointed by the shareholders of a company
B、The primary responsibility of external auditors is to investigate financial irregularities and report them to shareholders
C、External auditors may rely on the work of internal auditors, if they first assess its worth
D、External auditors are concerned with the financial records and statements of the organisation
A、External auditors are appointed by the shareholders of a company
B、The primary responsibility of external auditors is to investigate financial irregularities and report them to shareholders
C、External auditors may rely on the work of internal auditors, if they first assess its worth
D、External auditors are concerned with the financial records and statements of the organisation
【参考答案及解析】
Rationale: The primary responsibility of the external auditor is to report to shareholders on whether the client's financial statements are accurate and free from bias ('true and fair'). The other options are true.
Rationale: The primary responsibility of the external auditor is to report to shareholders on whether the client's financial statements are accurate and free from bias ('true and fair'). The other options are true.