The financial report of Charger Ltd indicates that there are going concern problems.After considering additional audit evidence, the auditor concludes that the client will not continue as a going concern during the next year.What type of audit opinion should the auditor express?
A)Disclaimer of opinion.
B)Qualified opinion.
C)Adverse opinion.
D)Unmodified opinion with a Material Uncertainty Related to Going Concern paragraph.

Question

Quizplus · Accepted Answer

When an auditor concludes that a client will not continue as a going concern, it means the entity is not expected to be able to sustain its operations or meet its obligations. This situation typically leads to an adverse opinion, as it directly contradicts the going concern assumption fundamental to financial reporting.

The Financial Report of Charger Ltd Indicates That There Are