Which section of a comprehensive annual financial report (CAFR) typically would contain audited data?

Prepare for the CPFO Accounting Test. Study with multiple choice questions, each with hints and explanations. Set yourself up for success!

The correct answer references the sections of a comprehensive annual financial report (CAFR) where audited data is typically found. The financial section of the CAFR is where the audited data is presented, specifically in the basic financial statements and the notes to those statements.

The statistical section, while it provides valuable information and trends, consists of unaudited data and supporting schedules that are not subject to audit. Similarly, the introductory section is intended to provide an overview of the government and its operations, along with other narrative information about the financial position but does not include audited financial statements.

Thus, neither the statistical section nor the introductory section contains audited data, making the identification of the financial section critical when seeking verified financial information. Understanding this structure helps to effectively analyze a CAFR and its reliability in representing a government's financial status.

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