When a Client Declines to Disclose Essential Information in the Financial

question 13

Multiple Choice

When a client declines to disclose essential information in the financial statements or notes,the auditor of the financial statements should:

• A)Provide the information in the audit report,if practicable,and qualify the opinion because of a limitation on the scope of the audit.
• B)Provide the information in the audit report,if practicable,and qualify the opinion because of a departure from GAAP.
• C)Issue a disclaimer of opinion because the client has interfered with the auditor's function of assessing the adequacy of disclosure.
• D)Issue an unmodified opinion,but inform the reader by including the omitted information in the audit report.

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Definitions:

Physical Well-being

The state of being comfortable, healthy, or happy in relation to the physical body.

Emotional Well-being

A state where an individual is able to understand and manage their emotions, maintain positive relationships, and feel a sense of purpose.

Cultures

Refers to the shared practices, languages, values, and customs that characterize communities, organizations, or groups.

Control

The power to influence or direct people's behavior or the course of events or an experiment's variable that is kept constant to test the relative impact of an independent variable.