The auditor gives an audit opinion on the fair presentation of the financial statements and associates his or her name with it when, on the basis of adequate evidence, the auditor concludes that the financial statements are unlikely to mislead:
A) management.
B) investors.
C) the reader.
D) a prudent user.

Question

Quizplus · Accepted Answer

The purpose of the audit opinion is to give assurance to the users of the financial statements, specifically the prudent user. The auditor's conclusion that the financial statements are unlikely to mislead provides a level of confidence to the users that they can rely on the information presented in the financial statements. Therefore, the best choice is D, a prudent user.

The Auditor Gives an Audit Opinion on the Fair Presentation