Violations of GAAP resulting in qualified opinions affect the standard audit report through which of the following?
A) Modifying the scope paragraph.
B) Adding an explanatory paragraph before the opinion paragraph.
C) Modifying the opinion paragraph to read "except for."
D) Both B and C.
E) All of the above.

Question

Quizplus · Accepted Answer

When a violation of GAAP results in a qualified opinion, the auditor must modify the standard audit report by adding an explanatory paragraph before the opinion paragraph and modifying the opinion paragraph to read "except for." Thus, both options B and C are correct. The scope paragraph does not need to be modified in this case, making option A incorrect. Therefore, the best choice is option D.

Violations of GAAP Resulting in Qualified Opinions Affect the Standard