16 -- Reports—Standard, Qualified, Adverse, and Disclaimer

16- - CPA AUDITING STUDY UNIT 16 Reports Standard Qualified Adverse and Disclaimer Core Concepts A The fourth standard of reporting states The

Info iconThis preview shows pages 1–2. Sign up to view the full content.

View Full Document Right Arrow Icon
CPA AUDITING - STUDY UNIT 16 Reports Standard, Qualified, Adverse, and Disclaimer: Core Concepts A. The fourth standard of reporting states , “The report shall either contain an expression of opinion regarding the financial statements, taken as a whole, or an assertion to the effect that an opinion cannot be expressed . .. In all cases in which an auditor’s name is associated with financial statements, the report should contain a clear-cut indication of the character of the auditor’s work, if any, and the degree of responsibility the auditor is taking.” The objective of the fourth standard is to prevent misinterpretation of the degree of responsibility the auditor is assuming when his/her name is associated with financial statements. 1. The independent auditor’s standard report on comparative financial statements is addressed to the board or shareholders and dated no earlier than the date on which the auditor has obtained sufficient appropriate evidence to support the opinion. It has a title with the word “Independent,” e.g., “Independent Accountant’s Report.” The three paragraphs are commonly known as the introduction, scope, and opinion paragraphs, respectively. The standard report
Background image of page 1

Info iconThis preview has intentionally blurred sections. Sign up to view the full version.

View Full DocumentRight Arrow Icon
Image of page 2
This is the end of the preview. Sign up to access the rest of the document.

This note was uploaded on 08/29/2010 for the course CBEAM AUD taught by Professor Gleim during the Spring '10 term at De La Salle Lipa.

Page1 / 2

16- - CPA AUDITING STUDY UNIT 16 Reports Standard Qualified Adverse and Disclaimer Core Concepts A The fourth standard of reporting states The

This preview shows document pages 1 - 2. Sign up to view the full document.

View Full Document Right Arrow Icon
Ask a homework question - tutors are online