2 Under relevant ISAS, what are the auditor's responsibility with regards Preparing an audit report (ISA 700) Subsequent events (ISA 560 . Going concern (ISA 570) Management representations and legislation (ISA 580) Emphasis of matter (ISA 706) (Write a paragraph on each topic) What are the implications for the auditing company who issued an unmodified report and the company collapsed 4 months later? 31) What form (type) of modified opinion would you give to each of the following scenarios? a) During the course of the final audit work, our client had a major computer failure. Year-end data could not be transmitted to the head office and so we decided to visit the branch situated at Ayr. The night before our intended arrival the electrical fault which caused the computer to break down occurred again and this time started a fire which destroyed the accounts section with all the records, computer back-ups included. b) Your client, Alnwelf Ltd, has many investments in animal enterprises throughout the world. Amongst them is a private investment in an animal welfare farm in Surrey amounting to 150,000. Although you've seen this sum going out of the Bank account, no documentation has yet been received from the organisation that you can verify. This is the only item that you haven't checked as you managed to check everything else. c) The General Manager of Substop PLC has Insisted that his accountants take into account this year the turnover arising from a 6 year hire contract for 3 of their giant Big Hole diggers. This amounts to 700,000. The profit figure before doing this is - well it's actually a loss- of 254,200. d) The accountant of Kelkos Engineering Ltd, has credited a government grant of 8000,000 to 'cost of sales' in the income statement. The grant was received on plant purchased this year which has an estimated life of six years. 311) Select one of your decisions to 3 ) and prepare the Opinion section of the report