Audit Report

24-1. Which of the following best describes the conclusion expressed in an auditors report containing a qualified opinion due to a scope limitation? a. That because of one matter, the financial statements might not materially conform with the FRF. b. That because of one matter, the financial statements do not materially conform with the FRF. c. That except for one matter, the financial statements may materially conform with the FRF. d. That except for one matter, the financial statements materially conform with the FRF.

24-2. What is the most likely consequence of a client-imposed scope limitation? a. A qualified opinion b. A disclaimer of opinion c. Either a qualified opinion or a disclaimer of opinion, depending upon the materiality of the audit adjustment the client decided not to record. d. Either a qualified opinion or a disclaimer of opinion, depending upon the materiality of the audit procedure the auditor decided not to perform.

24-3. Which of the following matters, if material, requires the auditor to modify the report but not the opinion? a. A change in accounting principle the client has made with auditor concurrence b. A change in accounting estimate the client has made with auditor concurrence c. A change in accounting principle the client has made despite a lack of auditor concurrence. d. A change in accounting estimate the client has made despite a lack of auditor concurrence.