The following are independent situations.

(a)		The auditor discovers that its clients computer system became infected with a virus. The receivable module of the accounting software became corrupt and there was no backup, and therefore the account details were not available for the auditor. The accounts receivable balance was material to the balance sheet.
(b)		Management refuses to write down the inventory to net realizable value. The adjustment required is material.
(c)		When auditing a not-for-profit entity, the auditor found management was unable to provide appropriate supporting documentation for the majority of the transactions selected for audit and therefore could not determine whether any adjustments might have been necessary with respect to the statement of financial position.

Which of the following are appropriate audit opinions for the above situations? 1 correct response

A. (a) Modified with a disclaimer of opinion; (b) Unmodified; (c) Modified with a disclaimer of opinion.

B. (a) Modified with an adverse opinion; (b) Modified with a qualification; (c) Modified with a qualification.

C. (a) Modified with a qualification; (b) Modified with a disclaimer of opinion; (c) Modified with an adverse opinion.

D. (a) Modified with a disclaimer of opinion; (b) Modified with an adverse opinion; (c) Modified with a qualification.

E. (a) Modified with a qualification; (b) Modified with a qualification; (c) Modified with a disclaimer of opinion.

F. (a) Modified with a disclaimer of opinion; (b) Modified with a qualification; (c) Modified with a disclaimer of opinion.

G. (a) Modified with a disclaimer of opinion; (b) Modified with a qualification; (C) Modified with a qualification.