Tab E includes ten ( 1 0 ) independent situations for which you must indicate the appropriate
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Question:
Tab E includes ten independent situations for which you must indicate the appropriate audit report type:
a Indicate the condition whether change in accounting principle, noncompliance with GAAP, none, reports involving other auditors, or scope of audit has been restricted
b Indicate the type of opinion in the audit report. See listing below for your reference
c In the comments column, describe the situation why you conclude that type of opinion, whether materiality, using an accounting method that is not GAAP, etc.
d The listings are for your reference. You can repeat if necessary or include an option that is not included.
Condition
No disclosure in financial statements.
Client imposed scope limitation
Scope limitation alternative procedure
Departure from GAAP
Change in estimate
Other auditors responsibility.
Loss contingency
Subsequent events
Accounting principles not consistently applied.
Correction of material misstatement in previously issued FS
Emphasis of a matter.
Uncertainties Going concern.
Type of Opinion
Unqualified standard opinion
Unqualified with emphasis paragraph
Unqualified with additional information in opinion and responsibility
Unqualified with additional related information
Qualified
Adverse
Disclaimer
As part of its postperiod date audit procedures, after the financial statement date, the auditor learned that a recent fire caused serious damage to one of a client's two plants. The loss will not be reimbursed by insurance. Newspapers described the event in detail. The financial statements and notes prepared by the client did not disclose the losses caused by the fire.
Condition:
Type of Opinion:
Comments:
A customer changed its depreciation method for production equipment from straight line to a units of production method based on hours of use. The auditor does not agree with the change.
Condition:
Type of Opinion:
Comments:
An auditor reporting on the group financial statements decides to assume responsibility for the work of a component auditor who audited a owned subsidiary and issued an unmodified opinion. The total assets and income of the subsidiary are and respectively, of the total assets and income of the audited entity.
Condition:
Type of Opinion:
Comments:
An auditor was hired after the end of the year and was unable to observe the yearend inventory count. You cannot apply other procedures to determine whether ending inventory and related information are reported correctly.
Condition:
Type of Opinion:
Comments:
Posted Date: