In Which of the Following Circumstances Would a Qualified Opinion

question 50

Multiple Choice

In which of the following circumstances would a qualified opinion be appropriate?

• A) The statements are not in conformity with generally accepted accounting principles regarding stock options plans and these misstatements do not have pervasive effect on the financial statements
• B) The statements are not in conformity with generally accepted accounting principles regarding stock options plans and these misstatements have pervasive effect on the financial statements
• C) The auditor has been unable to obtain sufficient competent evidential matter
• D) The principal auditors decide to withdraw from the engagement due to distrust of management

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Definitions:

Tonic Responses

Continuous or sustained physiological responses to a stimulus, as opposed to phasic or short-term reactions.

Phasic Responses

Transient or temporary reactions of organisms to stimuli, distinguishing from sustained or tonic responses.

Adolescents

Individuals in the developmental stage ranging roughly from 10 to 19 years old, characterized by rapid physical, emotional, and intellectual changes.

Slip

A minor mistake or error in judgement, often used in the context of recovery from addiction, where it refers to a small or temporary setback or return to substance use.