What ethical requirements are the auditors of Aunt Millies Bakeries required to meet?
Aunt_Millies_Bakeries Franchise · 2025 FDDAnswer from 2025 FDD Document
We conducted our audits in accordance with auditing standards generally accepted in the United States of America (GAAS). Our responsibilities under those standards are further described in the Auditor's Responsibilities for the Audit of the Financial Statements section of our report. We are required to be independent of Perfection Bakeries, Inc. and to meet our other ethical responsibilities, in accordance with the relevant ethical requirements relating to our audits. We believe that the audit evidence we have obtained is sufficient and appropriate to provide a basis for our audit opinion.
Source: Item 23 — RECEIPT (FDD pages 44–196)
What This Means (2025 FDD)
According to Aunt Millies Bakeries's 2025 Franchise Disclosure Document, the auditors are required to adhere to specific ethical standards. The Independent Auditor's Report states that the audits were conducted following auditing standards generally accepted in the United States of America (GAAS). As part of these standards, the auditors are mandated to be independent of Perfection Bakeries, Inc., ensuring no conflicts of interest that could compromise their objectivity.
Furthermore, the auditors must meet other ethical responsibilities in accordance with the relevant ethical requirements pertaining to their audits. This encompasses maintaining integrity, objectivity, and professional skepticism throughout the audit process. The auditors are expected to exercise professional judgment, which involves applying their expertise and knowledge to make informed decisions while remaining impartial and unbiased.
These ethical requirements are crucial for ensuring the credibility and reliability of the financial statements of Perfection Bakeries, Inc., which in turn provides assurance to potential Aunt Millies Bakeries franchisees. By adhering to GAAS and maintaining independence, the auditors enhance the transparency and trustworthiness of the financial information presented in the FDD, aiding prospective franchisees in making informed investment decisions.