If an auditor makes a disclaimer of opinion, this means that the auditor is ________.
A)favorable to the company's financial statement matching its performance but notes a few departures from GAAPs
B)unfavorable about the financial statement representing the company's position
C)unable to draw a conclusion about the accuracy of the company's financial records owing to lack of information
D)favorable of the company's financial statements representing its performance

Question

Quizplus · Accepted Answer

If an auditor makes a disclaimer of opinion, it means that they were unable to draw a conclusion about the accuracy of the company's financial records owing to a lack of information. This typically occurs when the auditor is unable to obtain sufficient evidence to form an opinion about the financial statements.

If an Auditor Makes a Disclaimer of Opinion, This Means