Question
. What type of audit opinion (unmodified, unmodified with emphasis of matter paragraph, disclaimer, qualified or adverse) would be appropriate for each of the following
. What type of audit opinion (unmodified, unmodified with emphasis of matter paragraph, disclaimer, qualified or adverse) would be appropriate for each of the following independent scenarios?
(a) There is an uncertainty related to a pending exceptional litigation matter that is adequately disclosed in the notes to the financial statements.
(b) The clients records are inadequate and the auditor is unable to obtain sufficient and appropriate audit evidence.
(c) There is a material uncertainty that casts a significant doubt on the entitys ability to continue as a going concern and the uncertainty is adequately disclosed.
(d) There is a GAAP departure concerning a highly material ledger balance.
(e) The client will not allow the auditor to contact the clients legal counsel regarding a pending legal matter.
(f) The clients accounting records have been destroyed by a flood.
(g) There is a misstatement in the clients inventory account - the misstatement is deemed to be material but not pervasive to the financial statements.
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