Under what conditions (if any) would you not render an opinion on a company's financial statements?

Expert Solution

As per me it is possible only in below condition:-

The auditor shall disclaim an opinion when the auditor is unable to obtain sufficient appropriate audit evidence for giving an opinion.

When auditor is not independent. When the limitation on scope of audit is imposed by client, as a result of which the auditor is unable to obtain sufficient audit evidence.

If after accepting the engagement, the auditor becomes aware that management has imposed a limitation on the scope of the audit, in this case auditor should request to the management to remove the limitation. If management refuses to remove the, limitation the auditor shall communicate the matter to those charged with governance and determine whether it is possible to perform alternative procedures to obtain sufficient appropriate audit evidence. If still the auditor is unable to obtain sufficient appropriate audit evidence then he disclaim an opinion on the financial statements.

I think it will be sufficient answer but if still any doubt please come back to me.

ekkarill92 answered 1 year ago

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