Due to time and staff restrictions the auditor was unable to attend the inventory stocktake at a remote branch location for Outback Ltd.The inventory at this site accounted for 30 per cent of total assets.Alternative procedures were applied satisfactorily.The auditor should issue:
A)an unmodified opinion.
B)an unmodified opinion with an Emphasis of Matter.
C)a disclaimer of opinion.
D)a qualified opinion.

Question

Quizplus · Accepted Answer

When alternative procedures are applied satisfactorily to obtain sufficient appropriate audit evidence regarding inventory, an unmodified opinion is appropriate because the auditor was able to obtain the necessary assurance about the financial statements' accuracy.

Due to Time and Staff Restrictions the Auditor Was Unable