Circumstances may occur in the audit of an entity's financial statements when the auditor concludes that it is necessary to add explanatory language to the report while still expressing an unqualified opinion.

Required
Identify the circumstances that cause a departure from the standard audit report while still expressing an unqualified opinion. For each circumstance indicate how the explanatory language is presented. Organize your answer according to the following example:

Transcribed Image Text:

Circumstances 1. Inconsistency in accounting principles in conformity with GAAP. Presentation of Explanatory Information 1. In explanatory paragraph following opinion paragraph, explain change.