If, during the completion phase of the audit, the auditor determines that he or she has obtained sufficient evidence, but it does not warrant a conclusion that the financial statements are fairly stated, there are three choices: the statements must be revised to the auditor's satisfaction, an except for opinion must be issued, or a disclaimer of opinion must be issued.

Question

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If the auditor has obtained sufficient evidence but it does not warrant a conclusion that the financial statements are fairly stated, they may issue a qualified opinion that identifies the specific reasons for the limitation on the scope of the audit or the material misstatements in the financial statements. If the limitations are pervasive and the auditor is unable to obtain sufficient appropriate evidence, a disclaimer of opinion may be issued. However, the auditor cannot revise the statements to their satisfaction as they are responsible only for expressing an opinion on the financial statements prepared by management.

If, During the Completion Phase of the Audit, the Auditor