What does the auditor evaluate regarding accounting policies used by Bens Soft Pretzels?

According to the 2025 FDD, the auditor evaluates the appropriateness of the accounting policies Bens Soft Pretzels uses. The auditor also assesses the reasonableness of significant accounting estimates made by the management of Bens Soft Pretzels, and evaluates the overall presentation of the financial statements. This evaluation is part of the auditor's responsibility to provide reasonable assurance that the financial statements are free from material misstatement.

In simpler terms, the auditor checks if Bens Soft Pretzels is using suitable accounting methods and if the estimates made by the company's management are reasonable. They also look at how the financial statements are presented to ensure they are clear and accurate. This process helps ensure that the financial information provided by Bens Soft Pretzels is reliable and complies with generally accepted accounting standards.

This audit is conducted in accordance with generally accepted auditing standards, which require the auditor to exercise professional judgment and maintain professional skepticism throughout the audit. The auditor's role is not to express an opinion on the effectiveness of Ben's Soft Pretzels Franchising Corporation's internal control, but to design audit procedures that are appropriate in the circumstances to assess the risk of material misstatement of the financial statements.