An Auditor Decided to Issue a Qualified Opinion on an Entity's

question 42

Multiple Choice

An auditor decided to issue a qualified opinion on an entity's financial statements because a major inadequacy in its computerized accounting records prevented the auditor from applying necessary procedures.The opinion paragraph of the auditor's report should state that the qualification pertains to ________.

• A)a GAAP departure
• B)a departure from generally accepted auditing standards
• C)the possible effect of the lack of audit evidence on the financial statements
• D)inadequate disclosure of necessary information

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Definitions:

Trademark Legislation

Laws and regulations that govern the registration, protection, and enforcement of trademarks to prevent unauthorized use of distinctive symbols, logos, or names.

Duty of Confidentiality

An obligation to preserve the secrecy of information entrusted by one party to another, often found in professional or contractual relationships.

Employer

An individual or organization that hires and pays people to work for them under a contract of employment.

Intellectual Property

Intellectual property rights arising from creative endeavors in the industrial, scientific, literary, and artistic domains.