The external auditor renders an 'except for' opinion when he/she:
A) is unable to express an opinion either way because of a limitation in the work he or she was able to do.
B) considers that the financial statements are not presented fairly in accordance with GAAP.
C) is generally satisfied except for a specified departure from GAAP in the statements.
D) is unable to obtain sufficient reliable audit evidence.

Question

Quizplus · Accepted Answer

An external auditor renders an 'except for' opinion when he/she is generally satisfied except for a specified departure from GAAP in the statements. This means that the auditor found the financial statements to be presented fairly in accordance with GAAP except for a specific issue or discrepancy. This is different from an 'unqualified' opinion, which means the auditor found no issues with the financial statements.

The External Auditor Renders an 'Except For' Opinion When He/she