77 An accounting firm is conducting the annual auit of a publicly traded company for the...
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77 An accounting firm is conducting the annual auit of a publicly traded company for the fiscal year ended December 31, Year 1. The and of feidwork daln is Fabruary 20, Vear 2. The report release date is March 1, Year 2. and a standard unmodified opinion was issued. On March 25, auditors discover new information that would cause a qualified opinion on the financial statements for the year ended Deoember 31, Year 1. Management dons not take appropriate nteps to inform external users. How should the auditors respond to this information? O Notify the regulatory authority that the auditor's report is not to be relied upon O Inform media outlets that the company is not notifying external users of the change O Pressure the company to inform external users about the qualified opinion O Stay silent as confidentiality rules prohibit disclosing this information to third parties. 77 An accounting firm is conducting the annual auit of a publicly traded company for the fiscal year ended December 31, Year 1. The and of feidwork daln is Fabruary 20, Vear 2. The report release date is March 1, Year 2. and a standard unmodified opinion was issued. On March 25, auditors discover new information that would cause a qualified opinion on the financial statements for the year ended Deoember 31, Year 1. Management dons not take appropriate nteps to inform external users. How should the auditors respond to this information? O Notify the regulatory authority that the auditor's report is not to be relied upon O Inform media outlets that the company is not notifying external users of the change O Pressure the company to inform external users about the qualified opinion O Stay silent as confidentiality rules prohibit disclosing this information to third parties.
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The auditor should design and implement overall responses to address the assessed risks of material misstatement as follows Making appropriate assignments of significant engagement responsibilities Th... View the full answer
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