In which one of the following cases would an auditor most likely issue a qualified opinion?
A)There is a highly material,and very pervasive departure from SFAS No.141 and No.142.
B)There is a change in accounting principles promulgated by the FASB.
C)There is an immaterial dollar misstatement on the financial statements.
D)There is one material departure from GAAP that affects only two accounts.

Question

Quizplus · Accepted Answer

A qualified opinion is issued when there is a material departure from GAAP, but it does not pervade the financial statements as a whole. Option D identifies a single material departure that affects only two accounts, making it a likely scenario for a qualified opinion. The other options involve more significant departures from GAAP or changes in accounting principles that may require more severe types of audit opinions.

In Which One of the Following Cases Would an Auditor