If a material misstatement is discovered in previous periods financial statements on which the auditor previously expressed an unqualified opinion and the previous statements are not revised, but the comparatives have been properly accounted for and disclosed in accordance with an identified financial reporting framework in the current years statements, then the auditor should express what sort of opinion?
A) disclaimer of opinion.
B) adverse opinion.
C) unqualified opinion
D) qualified opinion.

Question

Quizplus · Accepted Answer

When a material misstatement from a previous period has been properly accounted for and disclosed in the current period's financial statements, the auditor can still express an unqualified opinion. This is because the current financial statements, including the comparative information, are presented fairly in accordance with the applicable financial reporting framework.

If a Material Misstatement Is Discovered in Previous Periods Financial