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Indicate the type of opinion that should be expressed in each of the following situations, providing reasons for your choice (a)You have been asked to

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Indicate the type of opinion that should be expressed in each of the following situations, providing reasons for your choice (a)You have been asked to do the audit for a new client this financial year .While you are satisfied that there appears to be no material misstatements for the information during the current financial year the client will not provide any information about the opening balances of accounts at the start of the financial year. have just started auditing the financial statements of a client, which has not been following the Australian Accounting Standards since it began operating four years ago (c) A client has been using the LIFO method of accounting for inventory, which is disallowed under the Australian Accounting Standards. This has had a material effect on the financial statements however, its effect is currently limited to the effect on the Inventory value (d) The auditor of Numark has just completed the audit and is satisfied that there are no material misstatements however the client's continuation as a going concern is in extreme doubt as its major customer has gone into liquidation and it appears very unlikely that other customers will take its place due to the highly specialised nature of its products. (e) The auditor was unable to obtain confirmations from eight of the client's major customers that were included in the sample however, the auditor was able to satisfy himself about the balances of these accounts using other audit procedures. (f)The client restricted the auditor from carrying out procedures to verify the property, plant and equipment.The property, plant and equipment comprises 35% of total assets. (g) Management have excluded from the financial report the necessary disdosures in relation to a contingent liability .If this becomes an actual liability it will have a material effect on the financial report when it becomes an actual liability (h) A significant proportion of a retailer's sales are made on a cash basis but the internal controls are inadequate and the value of these cannot be verified. There are no audit tests that can be done to assure yourself that cash sales are being recorded or are correct

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