Requ em ents a and b lder fy which o the cond ons equ r a de ation f m a s andard un deosion. (If a bax is not used in the table leave the box ampty, do not select a labal) dified op on a dit eportapp cable any Then s e the level o ma ena y as imm atena ma ena or h hiy material you cannot decide evel of at sity, state the aditional info mation needed to make a More Inf 1. A number of ozen yogurt stores have opened in the last few years and your clent, Yogunand, has experienced a 2. Intellgis Electronics is a manufacturer of advanced electrical components During the year, changes in the market 3. in the last3 months of the current year, Oil Refining Company deciced to change direction and go significantly into 3. Change in accounting principle ncticesble decine in customer brafic over the past several months that has caused you to have substantiel doubt For each stuation, do the following about YogurtLand's ablity to continue as a going concam Fallure to folloW GAAP a Identfy which of the conditions requiring a deviaition from a standard unmodified epinion audit report is applicable if b State the leval of maeriality as immaterial, material or highly material. Iif you cannot decide the level of materiality c. Given your answers in parts a and b state the appropriste sudit repot from the following akernatives (f you have esulted in a signifcant decresse in the demand for their produers, which are now being sold significandy below cost Management rafuses to write-off the prodlucts or to increase the rasarve for absolescance the oil diling business Management recognizes that on business is exceptionally risky and could jeopardize the operation in driling, the company has had three dry wells and no successes. The facts are adequately disclosed in on this years income is immaterial, but the efect in future years may be highly material The change not audited financial statement are intanational your audit firm was engaged to conduct the audit in accordance wth Report invelving other auditors Scope of the audit has been restricied Substantial dout about going concerm state the additional information needed to make a decision not decided on one lavel of materiality in part bstate the appropriate report for each ahernative materialny lave (1) Unmodified opinion-standard wording efining business, but there are signifcant patential eards. During the short period of 4. Your cient, Harrison Automotive has changed from straight-line to sum-of theyears digits depreciation. The efect 5. Maseiles Fragrance, Inc is based in New York but has cperations throughout Europe Because users of the 6. Circumstances prevent you from being able to observe the ccunting of inventory at Brentwood Industries. The 7. Approximately 20% of the audit of Lumberton Farms, Inc. was performed by a dneet CFA firm selected by you 3) Unmodified (4) Qualifed opinion only-GAAP departure Disclaimer (7) Adverse eport wording Print Done US auditing standards and Imernational Standards on Auditing (SAs) nvertory amount matena n reaton to Brentwood indusmes franca statements But, you wee abto perform ahermative procedures to support the existence and valuation of the inventory at year-end You have raviewed thair audit fias and baiave thay did an acellant job on thair portion of the audit. Navertheless you are unwilling to take complete responsibiliny for their work Print Done