When reporting on comparative financial statements where the financial statements of the prior period have been examined by a predecessor auditor whose report is not presented,the successor auditor should indicate in the report:
A)The reasons why the predecessor auditor's report is not presented.
B)The identity of the predecessor auditor who examined the financial statements of the prior year.
C)Whether the predecessor auditor's review of the current year's financial statements revealed any matter that might have a material effect on the successor auditor's opinion.
D)The type of opinion expressed by the predecessor auditor.

Question

Quizplus · Accepted Answer

The successor auditor should indicate the type of opinion expressed by the predecessor auditor when the predecessor's report is not presented. This provides context and continuity for the financial statement users regarding the audit opinions over time.

When Reporting on Comparative Financial Statements Where the Financial Statements