In which of the following cases should an Unqualified Report with Explanatory Paragraph be issued? i. Auditor's doubts about the going concern assumption is valid ii. Auditor is not independent to the company being audited iii. There is justified GAAP departure in the financial reports iv. The auditor is unable to obtain sufficient and appropriate evidence a. i and iii b. ii and iv c. iii and iv d. i and ii

Q: ecause of inadequate records the auditor is uncertain as to whether the company’s major investment…

A: Auditing means the independent checking of company operation by outsider. Auditor is a qualified and…

Q: Auditors are not responsible for accounting estimates with respect toa. Making the estimates.b.…

A: Select the accounting policies and accounting estimates is the responsibility of the management to .…

Q: The auditor may add an explanatory paragraph to the unqualified audit report in the following…

A: GAAP - It is termed as Generally accepted accounting principle. It is basically an accounting…

Q: A CPA audits the financial statements of an issuer. Which statement relating to CAMs is TRUE? a. If…

A: Critical Audit Matters which is also written as CAMs are the matters which arises from the audit and…

Q: A CPA is not independent with respect to a company’s financial statements. The CPA may issue what…

A: Audit report is the opinion expressed by the auditor after careful examination of the books of…

Q: ancial reporting framework on a single financial statement or one or more specific elements,…

A: An Auditor is an person who becomes an Auditor after getting professional accounting degree i.e…

Q: Auditing} 10. Choose the circumstances in which financial statements are not true and fair. a. When…

A: An auditor is a person who is responsible for auditing the financial statement of the company and…

Q: S1: The representation letter must be addressed to the board of directors or stockholders of the…

A: Solution: False,  The representation letter must be addressed to the auditor of the company True, he…

Q: au uditor’sreport.“

A: Part A Going concern is one of the major assumptions involved in a business and this is the issue…

Q: The auditor will issue un-qualified audit report with explanatory paragraph when: Select one: a. The…

A: Auditor need to verify whether the financial statement is giving a true and fair view of the…

Q: ervasive effects on the financial

A: Pervasive misstatements are misstatement in financial statements that affect the essence of…

Q: When an auditor concludes that there is a significant doubt on the entity's ability to continue as a…

A: Going Concern basis: An entity prepares financial statements on a going concern basis ,that is it is…

Q: All of the following are causes for the addition of an explanatory paragraph except for: Select one:…

A: Audit report contains the details about the findings of the auditor in the process of audit and…

Q: 23 Choose the circumstances in which financial statements are not true and fair. a. When the…

A: The circumstances in which financial statements are not true and fair when the financial statements…

Q: Feherty, Inc., accounts for its investments under IFRS No. 9 and purchased the following investments…

A: 1. Feherty Inc. bought 200 bonds of Donald Company, from the 200 bonds, 80 were held as amortized…

Q: Which of the following opinions would be issued if auditors believed that the entity’s financial…

A: The audit report offers a summary for a given fiscal year of a company's financial performance.

Q: In a review engagement the public accountant provides negative assurance in the report which is…

A: An limited assurance or negative engagement or review engagements are conducted by the auditor after…

Q: require an explanatorylemphas matter paragraph in the audito report? *

A: Opinion based in part on the report of another auditor-This requires an emphasis of matter paragraph…

Q: The acceptable audit risk for the financial statements overall tends to be low and is set by the…

A: In auditing, setting the acceptable audit risk for financial statements is crucial for ensuring the…

Q: The Auditor's Report

A: The auditor's report typically includes a statement of the responsibilities of the auditor and…

Q: True or False Accounts receivable confirmations are likely to be more effective for the existence…

A: Since you have asked multiple questions, we will solve the first question for you. If you want any…

Q: not true about an audit report for an issuer

A: First option is wrong because the statement is true. The audit report of an issuer company describes…

Q: Where the auditor has assessed the risk of material misstatement of trade creditors as low, the…

A: Auditing is a procedure under which an auditor is appointed to check the accuracy of the financial…

Q: A change in accounting principle requires a modification of the wording standard unqualified audit…

A: An unqualified opinion is issued by an independent auditor when he/she determines that the financial…

Q: Pick correct option : If a company receives an unqualified audit opinion it means the auditors:…

A: An unqualified opinion is an independent auditor's judgment that a company's financial statements…

Q: In an auditor's report the absence of any reference to a material uncertainty about the entity’s…

A: Going concern means the assumption of the entity that it will go on and would be able to pay off its…

Q: Under what circumstances auditor may express an unqualified opinion? 1. The view presented by the…

A: Auditor's opinion refers to the report, which is issued to the management after a complete audit of…

Q: S1: The subsequent events period extends to the date of management representation letter and the…

A: To make sure that financial information is presented fairly and properly in compliance with the…

Q: s1: The auditor's report shall include a section with a heading "Responsibilities of Management for…

A: Solution: True,  The auditor's report shall include a section with a heading "Responsibilities of…

Q: {Auditing} 42. Identify an alternative which is not a material misstatement from the following and…

A: Auditing The purpose of conducting the auditing is to identify the errors and omission which are…

Q: Which of the following factors are to be considered by the auditor to express a modified audit…

A: Auditor's opinion is based on the review of the financial statements of a company. An auditor's…

Q: 2. Consider the following statements: I. Inconsistent application of accounting principles (i.e. a…

A: Please find the answer to the above question below:

Q: Disclaimer of opinion rendered by an independent auditor of financial statements stating that the…

A: Business organizations are required to conduct audits of their financial statements so as to know…

Q: For which of the following events would an auditor issue a report that does not make any reference…

A: An auditor is appointed to check the accuracy of the financial statement prepared by the company.

Q: 8. Explain about the type of report the Auditor would issue END of the EXAM a. if he disagrees with…

A: Auditor modifies his opinion in the auditors report when: 1) The auditor concludes that, based on…