When accounting principles are not consistently applied, and the materiality level is immaterial, the auditor will issue a(n):
A)unqualified opinion.
B)unqualified opinion with an explanatory paragraph.
C)adverse opinion.
D)disclaimer opinion.

Question

Quizplus · Accepted Answer

If accounting principles are not consistently applied but the impact on financial statements is deemed immaterial, the auditor will issue an unqualified opinion. This means that the financial statements present fairly, in all material respects, the financial position, results of operations, and cash flows of the company in accordance with GAAP.

When Accounting Principles Are Not Consistently Applied, and the Materiality