An entity operates in a highly regulated industry with special, legislated reporting requirements, with which it has complied. However, this has resulted in it not complying with the requirements of some Australian Accounting
Standards. Note 1 to the accounts states that the accounts are prepared in conformity with both the special legislated
Reporting requirements and the Australian Accounting Standards. What type of audit opinion should be issued?
A) An adverse opinion.
B) A qualified opinion.
C) An unmodified opinion with regards the special legislation and a qualified opinion with regards the departure from Australian Accounting Standards.
D) An unmodified opinion with an Emphasis of Matter paragraph.

Question

Quizplus · Accepted Answer

The entity has complied with special legislated requirements but not with some Australian Accounting Standards. Therefore, a qualified opinion is needed for the departure from the standards, while an unmodified opinion can be given for compliance with the special legislation.

An Entity Operates in a Highly Regulated Industry with Special