The use of opinion units allows the auditor to
A) Only allow one opinion for entire entity not its components.
B) Plan the audit better and increase the effectiveness of substantive procedures.
C) Provide different opinions on different components of the reporting entity.
D) Eliminate the need for Test of Controls.

Question

Quizplus · Accepted Answer

The use of opinion units allows the auditor to provide different opinions on different components of the reporting entity. This provides a more nuanced and accurate view of the entity's financial performance and helps to ensure that investors and other stakeholders have access to the most relevant and actionable information. By differentiating between various components of the entity, the auditor can better tailor their auditing procedures and increase the overall effectiveness of the audit.

The Use of Opinion Units Allows the Auditor to