Typically, when a going concern issue exists the auditor should:
A) Issue an unmodified opinion with an emphasis-of-matter paragraph
B) Explain the reasons for the going concern issue
C) Indicate where management's plans to deal with the going concern are addressed
D) All of these

Question

Quizplus · Accepted Answer

When a going concern issue exists, the auditor should modify the audit report or issue an unmodified opinion with an emphasis-of-matter paragraph to highlight the concern. The emphasis-of-matter paragraph should explain the reasons for the going concern issue, indicate where management's plans to deal with the going concern are addressed, and can be placed either before or after the opinion paragraph. Therefore, all of these options are necessary to address a going concern issue.

Typically, When a Going Concern Issue Exists the Auditor Should