Which statement about the intended user of a professional accountant's report is not true?

Which statement about the intended user of a professional accountant's report is not true?

• A. The intended user is the person or class of persons for whom the professional accountant prepares the report for a specific use or purpose.
• B. The intended user(s) is (are) always limited to the addressee of the professional accountant's report.
• C. The responsible party may also be the one of the intended users.
• D. The intended user(s) may not be the addressee of the professional accountant's report.

Answer: (A)

The intended user is the person or class of persons who the accountant expects to rely on the report to achieve specific objectives. This concept allows for multiple users and multiple uses depending on the engagement. A statement that the intended user must be a single group prepared for a specific use or purpose is not accurate, because in practice the report can be relied upon by different parties for various purposes, and the addressee is not the only possible intended user. The responsible party can also be an intended user, and the intended user may not be the addressee.

The intended user is the person or class of persons who the accountant expects to rely on the report to achieve specific objectives. This concept allows for multiple users and multiple uses depending on the engagement. A statement that the intended user must be a single group prepared for a specific use or purpose is not accurate, because in practice the report can be relied upon by different parties for various purposes, and the addressee is not the only possible intended user. The responsible party can also be an intended user, and the intended user may not be the addressee.