In an unqualified audit report on the financial statements of a public company, what does the first statement of the opinion paragraph state?
A)An audit was conducted, which financial statements were audited, and the dates of the financial statements.
B)PCAOB audit standards were followed since it is a public company.
C)The audit firm believes that its audit provides a reasonable basis for its opinion.
D)Management is responsible for the fair presentation of the financial statements.

Question

Quizplus · Accepted Answer

The first statement of the opinion paragraph in an unqualified audit report typically states that an audit was conducted, specifies which financial statements were audited, and mentions the dates of the financial statements. This provides the reader with a clear understanding of the scope of the audit.

In an Unqualified Audit Report on the Financial Statements of a Public