Adding an additional part to a component or product ordinarily reduces reliability by introducing an additional source of failure

If financial statements are to meet the requirements of adequate disclosure,

a. All information pertaining to the company must be disclosed in the statements or related notes, even though some of the disclosures are potentially detrimental to the company or its shareholders b. All information believed by the auditor to be essential to the fair presentation of the financial statements must be disclosed, no matter how confidential management believes the data to be c. Statement notes should be written in very technical language to avoid misinterpretation by the reader d. A statement note must clearly detail any deficiencies contained in the financial statements themselves

In the initial interview, avoid asking questions about

A) salary B) product expansion C) recent innovations D) company direction