Correct Answer:
D
The formal financial statements of a state or local government include:
Basic Financial Statements (government-wide and fund statements)
Notes to the Financial Statements
Required Supplementary Information (RSI), including MD&A and pension data
The auditor’s letter (i.e., Independent Auditor’s Report) is included in the financial section of the
ACFR but is not technically part of the financial statements themselves. It is a separate document
providing the auditor's opinion.
Relevant Reference:
GASB Statement No. 34
GFOA ACFR Reporting Guide
AICPA Governmental Audit Guide
Answer : D. auditor’s letter
