Audit reports are an insufficient basis for financing decisions by a diligent financier because:
A) an inappropriate audit opinion might be issued as a result of not complying with auditing standard.
B) an unqualified audit opinion might be issued when the financial statements are materially misstated.
C) the auditor might be negligent.
D) the audit report is out of date by the time of publication.
Correct Answer:
Verified
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A)
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