1, In which of these cases would an opinion be issued that requires an opinion modification and no change in explanatory language (unmodified)? Select one: 

a. The auditor was unable to obtain sufficient evidence during the audit process. 

b. A main firm (group auditors) trusts and supports the work carried out by a secondary firm that audits one of the units (component auditors). 

c. There was a change in accounting principle due to the effect of a new standard issued by the FASB. 

d. The auditors decide to emphasize transactions between related parties (related party transactions) in the opinion report. 

2, Which of the following best describes why independent auditors issue opinion reports on their clients' financial statements? Because there may be Select one: 

a. fraud schemes that can be detected in all probability. 

b. errors in the balance sheets or account balances, which can be corrected through the intervention of the auditors. 

c. a poorly designed internal control system. 

d. different interests between the managers of the company that prepares the financial statements and the users of the financial statements. 

3, Which of the following expressions is not explicitly included in the opinion report in the case of a private corporation? An expression that states that Select one: 

a. The auditor is responsible for expressing an opinion on the financial statements. 

b. A title that contains the independent word. 

c. The auditor believes that the audit provides a reasonable basis for expressing limited or negative assurance

d. financial statements are the responsibility of management.

Answer rating: 100% (QA)

1 unmodified opinion is given when there is no extra point to be mentioned in the audit re... View the full answer