The auditors' report on the entity's financial statements included an additional paragraph disclosing a difference of opinion between the auditors and the entity for which the auditors believed an adjustment to the financial statements should be made.The opinion paragraph of the auditors' report should express a(n)
A)Unmodified opinion.
B)Qualified opinion citing a departure from generally accepted accounting principles.
C)Qualified opinion citing a scope limitation and lack of specific evidence.
D)Disclaimer of opinion.

Question

Quizplus · Accepted Answer

A difference of opinion between the auditors and the entity on a material matter would result in the auditors issuing a qualified opinion citing a departure from generally accepted accounting principles. This means that the financial statements are fairly presented, except for the effect of the matter to which the disagreement relates.

The Auditors' Report on the Entity's Financial Statements Included an Additional