Audit Report

The date of the auditor's opinion on the financial statements of the client should be the date of the

• completion of all important audit procedures

• closing of the client's books

• finalisation of the terms of the audit engagement

• submission of the report to the client

When the financial statements are fairly stated but the auditor concludes there is substantial doubt whether the client can continue in existence, the auditor should issue a(n)

• adverse opinion

• qualified opinion only

• unmodified opinion

• unmodified opinion with explanatory paragraph

As compared to an unmodified opinion, an opinion qualified due to a material departure from applicable accounting standards would

• include an extra paragraph in the opinion section

• include a slight modification to the auditor's responsibility section

• include a slight modification to the introductory paragraph in the opinion section

• indicate that, except for the problem noted, the financial statements are presented fairly

An adverse opinion and a disclaimer of opinion

• may be used interchangeably

• both require modification of the opinion section

• result in the auditor's withdrawal from the engagement

• indicate situations in which there are material accounting principles/standards departures

Which of the following would result in a qualification of the audit report?

• Cannot get the audited accounts of a significant material subsidiary

• Weak, significant internal controls

This type of paragraph draws attention to a fundamental issue in the financial statements

• Emphasis of matter

• Other matters

• Adverse opinion

• None of the choices