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Question 2 For each situation, identify the type of audit opinion to be issued and explain why you have chosen this audit opinion. Note that

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Question 2 For each situation, identify the type of audit opinion to be issued and explain why you have chosen this audit opinion. Note that you may discuss more than one audit opinion per scenario. Situation 1 The accounting firm of Bryer and Morris LLP was engaged to perform an audit of the financial statements of Pammenter Inc. During the audit, Pammenter Inc.'s senior managers refused to give the auditors the information they needed to confirm any of the accounts receivable. As a result, Bryer and Morris LLP were not able to confirm the accounts receivable balance. Bryer and Morris LLP did not encounter any other problems during the audit. Situation 2 The accounting firm of Dickson and Reed LLP was engaged to perform the audit of Lampson and Sons (Lampson). Dickson and Reed LLP discovered during the audit that Lampson is being sued for $3,000,000. Allegedly, one of Lampson's products exploded and severely injured a customer. Through discussion with Lampson's lawyers, Dickson and Reed LLP ascertained that it is very likely that Lampson will have to pay the entire amount when the lawsuit is resolved. Lampson has included information relating to the lawsuit in the notes to its financial statements but did not accrue an amount for the lawsuit in its financial statements

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