An auditor would issue an adverse opinion if
A) The audit was begun by other independent auditors who withdrew from the engagement.
B) A qualified opinion cannot be given because the auditor lacks independence.
C) A restriction on the scope of the audit was significant.
D) The statements taken as a whole do not fairly present the financial condition and results of operations of the company.

Question

Quizplus · Accepted Answer

An adverse opinion is issued when the statements taken as a whole do not fairly present the financial condition and results of operations of the company. This means that the auditor has determined that the financial statements are materially misstated and cannot be relied upon by stakeholders.

An Auditor Would Issue an Adverse Opinion If