ACA Corporate Reporting Practice Exam

The main purpose of a transnational audit is to support major regulatory decisions. This type of audit typically involves examining the financial statements and operations of multinational corporations, ensuring compliance with various international regulations and standards across different jurisdictions. By conducting a transnational audit, auditors are able to gather crucial insights into how a corporation operates in various countries and whether it adheres to the regulations specific to those regions.

This kind of audit helps in understanding complex global transactions and provides transparency and reliability, which is essential for regulatory bodies that need to make informed decisions based on the financial health and compliance of multinational enterprises. Through a comprehensive assessment, auditors can highlight areas of concern that may need regulatory attention, thus fulfilling the significant role of facilitating major regulatory decisions.