The following auditor's report was drafted by Darwish, a junior auditor in Deloitte- Dubai at the completion of the audit of the comparative financial statements of GREENS, Inc., a privately held company,for the years ended December 31, 2017.

GREENS, Inc. has used the double-declining balance method to depreciate its machinery. During the current year, management switched to the straight-line method because it felt that it better represented the utilization of the assets. The audit team concur with its decision. All information is adequately disclosed in the financial statements.

The report was submitted to the engagement partner, who reviewed matters thoroughly and properly concluded that an unqualified audit report with explanatory paragraph should be issued. The draft of the report prepared by an inexperienced junior auditor is as follows:

We have audited the accompanying statements of assets, liabilities, and fund balances arising from modified cash transactions of GREENS, Inc., as of December 31, 2015, and the related statements of support, revenue, and expenses and changes in fund balances--modified cash basis and changes in financial resources--modified cash basis for the years then ended.

Auditor's Responsibility

Our responsibility is to express an opinion on these consolidated financial statements based on our audits. We conducted our audits in accordance with auditing standards generally accepted in the United States of America. Those standards require that we plan and perform the audit to obtain reasonable assurance about whether the consolidated financial statements are free from material misstatement.

An audit involves performing procedures to obtain audit evidence about the amounts and disclosures in the consolidated financial statements. The procedures selected depend on the auditor's judgment, including the assessment of the risks of material misstatement of the consolidated financial statements, whether due to fraud or error. In making those risk assessments, the auditor considers internal control relevant to the entity's preparation and fair presentation of the consolidated financial statements in order to design audit procedures that are appropriate in the circumstances, but not for the purpose of expressing an opinion on the effectiveness of the entity's internal control. Accordingly, we express no such opinion. An audit also includes evaluating the appropriateness of accounting policies used and the reasonableness of significant accounting estimates made by management, as well as evaluating the overall presentation of the consolidated financial statements.

We believe that the audit evidence we have obtained is sufficient and appropriate to provide a basis for our audit opinion.

Opinion

In our opinion, the financial statements give a true and fair view of the financial transactions of the GREENS, Inc., during the year ended 31 December 2015 and the financial position of the GREENS at 31 December 2015 and of the company's cash flows for the year then ended in accordance with the on the basis of accounting described in Note X.

Required:

Identify the errors and omissions in the auditor's report as drafted by the junior auditor.