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he financial statements of kcp america a us entity are prepared for inclusion in the 602410

The financial statements of KCP America, a US entity, are prepared for inclusion in the consolidated financial statements of its non-US parent. These financial statements are prepared in conformity with the accounting principles generally accepted in the parent’s country and are for use only in that country. How may KCP America’s auditor report on these financial statements?

  1. I. A US-style report (unmodified).
  2. II. A US-style report modified to report on the accounting principles of the parent’s country.
  3. III. The report form of the parent’s country.

I

II

III

a.

Yes

No

No

b.

No

Yes

No

c.

Yes

No

Yes

d.

No

Yes

Yes

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