You receive a set of financial statements from a prospective borrower and while reviewing them you notice that the audit opinion is qualified, What should you do.?

A-Nothing as long as any errors identified in the accounts are clearly explained in the auditors opinion

B-Nothing specific you expect the auditors to be a suitably qualified

C-There is probably no further work required on your part as by raising the issues in the qualification the audits have already uncovered all the risks relevant to lenders and shareholders.

D-Treat the qualification as an indicator of increased risk and fully investigate the reasons for the qualification and its impact on your analysis before proceeding with any lending decision