in what circumstances would you consider necessary to issue and qualified report give a specimen of liquid report stating at least three reasons due to which you work born to issue such a report
Answers
Explanation:
Qualified report is given by the auditor in either of these two cases: When the financial statements are materially misstated due to misstatement in one particular account balance, class of transaction or disclosure that does not have pervasive effect on the financial statements.
Answer:
A qualified opinion may be given when a company's financial DOCUMENTS have not followed GAAP in all transactions, but only if the deviation from GAAP is not pervasive. The term "pervasive" can be interpreted differently based on an auditor's professional judgment.
Explanation:
1. A qualified report is given by the auditor if he is not satisfied with the fairness of balance sheet and profit and loss account.
2. In a clean report, an auditor will state something along with the lines,” In our opinion, the financial statements give a true and fair view of the financial position.
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