When the auditor modifies the audit opinion the auditor shall use the heading

When the auditor modifies the audit opinion the

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When the auditor modifies the audit opinion, the auditor shall use the heading “Qualified Opinion”, “Adverse Opinion”, or “Disclaimer of Opinion”, as appropriate, for the opinion paragraph. ? When the auditor expresses a qualified opinion due to a MM in the FS, the auditor shall state in the opinion paragraph that, in the auditor’s opinion, except for the effects of the matter(s)described in the Basis for Qualified Opinion paragraph: ? a. The FS present fairly, in all material respects (or give a T&F View) in accordance with the applicable FRFW when reporting in accordance with a fair presentation framework; or ? b. The FS have been prepared, in all material respects, in accordance with the applicable FRFW when reporting in accordance with a compliance framework. ? When the modification arises from an inability to obtain SAAE, the auditor shall use the corresponding phrase “except for the possible effects of the matter(s)...” for the modified opinion. ? When the auditor expresses an adverse opinion, the auditor shall state in the opinion paragraph that, in the auditor’s opinion, because of the significance of the matter(s) described in the Basis for Adverse Opinion paragraph: ? i. Inclusion of this paragraph heading makes it clear to the user that the auditor’s opinion is modified and indicates the type of modification. ? ii. When the auditor expresses a qualified opinion, it would not be appropriate to use phrases such as “with the foregoing explanation” or “subject to” in the opinion paragraph as these are not sufficiently clear or forceful. ? When the auditor expresses a qualified or adverse opinion, the auditor shall amend the description of the auditor’s responsibility to state that the auditor believes that the audit evidence the auditor has obtained is sufficient and appropriate to provide a basis for the auditor’s modified audit opinion. ? conducting the audit in accordance with Standards on Auditing issued by the Institute of Chartered Accountants of India. Because of the matter(s) described in the Basis for Disclaimer of Opinion paragraph, however, we were not able to obtain SAAE to provide a basis for an audit opinion”. ? When the auditor disclaims an opinion due to an inability to obtain SAAE, the auditor shall amend the introductory paragraph of the auditor’s report to state that the auditor was engaged to audit the FS. The auditor shall also amend the description of the auditor’s responsibility and the description of the scope of the audit to state only the following: “Our responsibility is to express an opinion on the FS based on ClearIPCC.in
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1 SA 706 Emphasis of Matter Paragraphs and Other Matter Paragraphs in the Independent Auditor’s Report ? in the auditor’s judgment it is necessary to draw users’ attention to a matter presented or disclosed in the FS and is fundamental to users’ understanding of the FS, the auditor shall include an Emphasis of Matter paragraph in the auditor’s report provided the auditor has obtained SAAE that the matter is not materially misstated in the FS. Such a paragraph shall refer only to information presented or disclosed in the FS.
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