An Auditor Was Unable to Obtain Audited Financial Statements or Other

question 15

Multiple Choice

An auditor was unable to obtain audited financial statements or other evidence supporting an entity's investment in a large foreign subsidiary. Between which of the following reports should the auditor choose?

• A) Adverse and unqualified/unmodified with an explanatory/emphasis-of-matter paragraph added.
• B) Disclaimer and unqualified/unmodified with an explanatory/emphasis-of-matter paragraph added.
• C) Qualified and adverse.
• D) Qualified and disclaimer.

Understand the ethical considerations in effective communication.

Recognize the importance of audience analysis in communication strategy.

Comprehend the strategies for structuring messages based on audience receptivity.

Understand the importance and methods of organizing information in communication.

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Definitions:

Trademark

A symbol, word, or words legally registered or established by use as representing a company or product.

Non-Disclosure Agreements

Legally binding contracts that stipulate parties must not disclose confidential and proprietary information shared between them.

Trade Secrets

Confidential business information that provides a company with a competitive advantage over its rivals.

Act

A legal document codified by a legislative body.