A Client Company Has a History of Negative Cash Flow

question 73

Multiple Choice

A client company has a history of negative cash flow trends and continuing losses.Which type of opinion will the auditor most likely give?

• A)Adverse.
• B)Unqualified with explanatory language.
• C)Qualified.
• D)Disclaimer of opinion.

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Definitions:

Assessment

The process of evaluating or estimating the nature, quality, or ability of someone or something through tests and observations.

Ritual Closure

The act of formally ending a process or event, often with a specific action or ceremony.

Emotional Exhaustion

A state of feeling extremely fatigued or drained due to accumulated stress from emotional demands.

Uncertain Loss

A form of grief or mourning related to a loss that lacks clarity or closure, making it difficult for individuals to process and move forward.