An independent auditor must consider whether the auditee has the ability to continue as a going concern.If a substantial doubt exists but disclosure is adequate and no other basis exists for modifying the report, under CICA section 5510, the auditor should
A)Disclaim an opinion.
B)Express an adverse opinion.
C)Qualify the opinion.
D)Express an unqualified opinion.

Question

Quizplus · Accepted Answer

If the auditor concludes that there is substantial doubt about the entity's ability to continue as a going concern, but the disclosure in the financial statements is adequate, the auditor can issue an unqualified opinion with an emphasis of matter paragraph to highlight the going concern issue.

An Independent Auditor Must Consider Whether the Auditee Has the Ability