How adverse opinion most likely should be expressed


Problem: An adverse opinion most likely should be expressed when The auditor cannot obtain sufficient appropriate evidence regarding the inventory count, and the possible effects are material. Management uses an accounting policy not in accordance with the applicable reporting framework. The financial statements are materially misstated, but the effects are not pervasive. The possible effects of a scope limitation are material and pervasive.

 

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Accounting Basics: How adverse opinion most likely should be expressed
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