Auditors who are reporting on financial statements that contain a material departure from generally accepted accounting principles should include an additional paragraph and
A) express a qualified or adverse opinion.
B) not modify the opinion paragraph as long as the departure is adequately disclosed in a footnote.
C) disclaim an opinion on the financial statements.
D) express a qualified opinion or disclaimer of opinion.

Question

Quizplus · Accepted Answer

Auditors who are reporting on financial statements that contain a material departure from generally accepted accounting principles should express a qualified or adverse opinion to indicate that the financial statements are not fairly presented in accordance with GAAP. An additional paragraph should be included in the auditor's report to explain the nature and effects of the departure.

Auditors Who Are Reporting on Financial Statements That Contain a Material