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PART C: The audit report (8 marks) During the audit, you detect that ABC has a material investment in XYZ Co., Foreign subsidiary whose net
PART C: The audit report (8 marks) During the audit, you detect that ABC has a material investment in XYZ Co., Foreign subsidiary whose net worth has been fully/ substantially eroded. The management has not provided any evidence of how they valued the investment to conclude on the carrying amount. The auditor was also unable to obtain sufficient appropriate audit evidence about the carrying amount of ABC Ltd's investment in XYZ Co., because you were denied access to the financial information, management & the auditors of XYZ. - Indicate the conditions that must be met before an auditor can issue a standard unmodified opinion. (2 marks) . Explain the conditions for issuing audit reports with modified opinion while specifying the types audit opinion, (3 marks) e-Based on the information above, identify the issues detected and the type of audit opinion that you would express in the report (Justify your answer)
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