Information in the chairman's address, accompanying the financial report in an entity's annual report, is inconsistent with information contained in the audited financial report. The entity refuses to alter the chairman's address. The
Appropriate auditor's report is:
A) an unmodified opinion with an Other Matter paragraph.
B) a qualified opinion.
C) an unmodified opinion.
D) an unmodified opinion with an Emphasis of Matter paragraph.

Question

Quizplus · Accepted Answer

An unmodified opinion with an Other Matter paragraph is appropriate when there is inconsistency in other information accompanying the financial statements, but the financial statements themselves are not misstated.

Information in the Chairman's Address, Accompanying the Financial Report in an Entity's