An Auditor Expresses an Unqualified Opinion on the Financial Statements

question 3

Multiple Choice

An auditor expresses an unqualified opinion on the financial statements of a publically held client. Subsequent to the audit, the client files for bankruptcy protection. The auditor issuing the unqualified opinion may:

• A) cite its reliance on the work of the auditor issuing the SAS 70 report.
• B) disown the opinion as it relies on the work of another auditor.
• C) cite its work on the client's internal controls as the basis for issuing the opinion.
• D) None of the above.

---

Definitions:

Agricultural Exemptions

Policies or laws that excuse the agricultural sector from certain regulations or requirements that apply to other sectors, often in the context of labor.

Marriage Exemptions

Laws or policies that provide certain benefits or exceptions to married couples that are not available to single individuals.

NAACP

The National Association for the Advancement of Colored People, a civil rights organization in the United States.

Desegregation

The process of eliminating racial segregation, which leads to the integration of races in public and private spaces.