Under Which of the Following Set of Circumstances Might the Auditors

question 50

Multiple Choice

Under which of the following set of circumstances might the auditors disclaim an opinion?

• A) The financial statements contain a departure from generally accepted accounting principles, the effect of which is material.
• B) The group auditors decide to make reference to the report of component auditor who audited a subsidiary.
• C) There has been a material change between periods in the method of application of accounting principles.
• D) There are significant scope limitations on the audit.

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Definitions:

Sociology

The study of the development, structure, and functioning of human society, including the analysis of social relationships and institutions.

Time

The continuous, irreversible progress of existence and events in the past, present, and future regarded as a whole.

M.B.A.s

Masters of Business Administration, a graduate degree focused on business management, covering areas such as accounting, finance, marketing, and operations management.

Economics

The social science concerned with the production, distribution, and consumption of goods and services.