An accountant's report includes the phrase "We are not aware.…" This phrase indicates that
A) An attestation was not performed.
B) Management had not established sufficient criteria for an opinion to be issued.
C) The auditor is providing negative assurance.
D) A disclaimer of opinion is presented.

Question

Quizplus · Accepted Answer

The phrase "We are not aware..." commonly appears in audit reports when the auditor is providing negative assurance, which means they did not find any material misstatements or discrepancies during their audit. It does not necessarily indicate a disclaimer of opinion, nor does it suggest that an attestation was not performed or that management had not established sufficient criteria for an opinion to be issued.

An Accountant's Report Includes the Phrase "We Are Not Aware