What auditing standards were used as the basis for the audit of Carbones Pizzeria's financial statements?
Carbones_Pizzeria Franchise · 2025 FDDAnswer from 2025 FDD Document
We conducted our audit in accordance with auditing standards generally accepted in the United States of America. Our responsibilities under those standards are further described in the Auditor's Responsibilities for the Audit of the Financial Statement section of our report. We are required to be independent of M&T Pizza Incorporated and Subsidiaries and to meet our other ethical responsibilities in accordance with the relevant ethical requirements relating to our audit. We believe that the audit evidence we have obtained is sufficient and appropriate to provide a basis for our audit opinion.
Source: Item 22 — CONTRACTS (FDD page 30)
What This Means (2025 FDD)
According to the 2025 Carbones Pizzeria FDD, the audit of the company's financial statements for the year ending October 31, 2022, was conducted in accordance with auditing standards generally accepted in the United States of America. This indicates that the audit followed a standardized set of guidelines and principles recognized and accepted within the U.S. accounting profession. These standards ensure a level of consistency and quality in the audit process.
The auditor's report states that they are required to be independent of M&T Pizza Incorporated and Subsidiaries and to meet ethical responsibilities relevant to the audit. The auditor also believes that the audit evidence they obtained is sufficient and appropriate to provide a basis for their audit opinion. This declaration reinforces the objectivity and reliability of the audit.
For a prospective Carbones Pizzeria franchisee, this information is reassuring as it confirms that the company's financial statements have been examined by an independent auditor using established and recognized standards. This can provide a higher level of confidence in the financial information presented in the FDD, which is crucial for making an informed investment decision.