Which of the following is an example of opinion shopping by a company?
A)Changing auditors due to the quality of work by the auditors
B)Changing auditors due to wanting desired accounting treatment
C)Changing auditors due to the size of the audit fees
D)Changing auditors due to the size of the audit firm

Question

Quizplus · Accepted Answer

Opinion shopping refers to the practice of a company seeking out a new auditor who will provide a more favorable opinion or accounting treatment than their current auditor. Changing auditors solely to achieve a desired accounting treatment is a clear example of opinion shopping. Choice A is an example of changing auditors due to quality concerns, choice C is an example of changing auditors due to cost concerns, and choice D is an example of changing auditors based on the size of the audit firm, none of which necessarily involve seeking a more favorable opinion.

Which of the Following Is an Example of Opinion Shopping