Question

For each of the following situations, explain whether and why having an independent review of the information provided-that is, an audit-would be useful. Who would be an appropriate person to conduct the audit?
a. A charity states that it spends 85% of money raised providing services to the community.
b. An individual files an income tax return with Canada Revenue Agency in which she reports the amount of money her business earned during the previous year.
c. A public corporation predicts that it will double its profit next year.
d. A job applicant submits a résumé to a prospective employer outlining her employment history and educational background.
e. A donut shop advertises that it has the world's best coffee.



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  • CreatedFebruary 26, 2015
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