Harry Bird, CPA, has been approached to audit Boneck Co. after Bonecks fiscal year-end. The bird was able to become satisfied regarding the ending but not the beginning inventory, which is material in amount. Thus, he

A. Must disclaim an opinion on all the financial statements.

B. May perform only a review or compilation of the statements.

C. Will likely disclaim an opinion on the income statement.

D. Will be able to express only an except for opinion on the balance sheet.

An auditor of a nonissue may express an unmodified opinion with an emphasis-of-matter paragraph in all the following circumstances except a(n)

A. Substantial doubt about an entitys ability to continue as a going concern. B. A scope limitation resulting from inadequate client records.

C. Emphasis of a matter.

D. Nonconformity with GAAP that is necessary for fair presentation in unusual circumstances.

An issuers compiled financial statements for the prior year are presented along with current year audited financial statements. The compiled statements must be clearly marked

A. For comparative purposes only, and a reissued compilation report must accompany the statements.

B. For comparative purposes only, and a qualified opinion must be expressed.

C. Unaudited, and either the prior-period report must be reissued or it must be referenced in the current year's audit report.

D. Unaudited, and a reissued compilation report must accompany the statements.

C. Unaudited, and either the prior-period report must be reissued or it must be referenced in the current year's audit report.