1. You are an auditor of a multi-national company, MNO CORPORATION, with Head Quarters in New York City, USA. The Company is in Oil and Gas Prospecting and Refining Industry. Your audit reveals that their books were not well kept and their oil fields were in deep waters of The Atlantic Ocean. You tried to verify these oilfields but the Company failed to provide support. When you examined their Balance Sheet, they failed to indicate their oil reserves and their locations. In addition, their financial statements were not presented in accordance with Accounting Standards for the UPSTREAM and DOWNSTREAM GAAP Standards.

Required:

Provide the opinion Section of the Auditor’s report for use by a bank trying to loan MNO Company the sum of $800m.

1. What type of audit opinion will you provide and why?

2. Provide a Draft Sample of your Audit Opinion below. Opinion should not exceed 8 sentences.

Answer rating: 100% (QA)

Answer The auditor shall express a qualified opinion when The auditor having obtained sufficient app... View the full answer