A limitation on the scope of an auditor's examination sufficient to preclude an unqualified opinion will always result when management:

Question

Quizplus · Accepted Answer

Choice "C" is correct. Management's refusal to furnish a written representation letter constitutes a limitation on the scope sufficient to preclude an unqualified opinion. Choice "A" is incorrect. Engaging the auditor after the year-end physical count is completed need not preclude an unqualified opinion if the auditor can apply satisfactory alternative audit procedures. Choice "B" is incorrect. Failure to correct a material internal accounting control weakness that had been identified during the prior year's audit need not preclude an unqualified opinion, although it may require the auditor to apply extended auditing procedures. Choice "D" is incorrect. Inability to review the predecessor's prior year audit documentation may cause the successor auditor more work but need not preclude an unqualified opinion in the current year.

A Limitation on the Scope of an Auditor's Examination Sufficient