How many companies have received an adverse opinion
on internal control?
He expects that this will result in an adverse opinion
for the holding company, but the operating companies should continue to receive their traditional unqualified opinions.
This is particularly evident in the policy groups of cohesion (see other article), research, energy and transport, external aid, development and enlargement, for which the court continues to issue adverse opinions
due to a significant level of errors.
Furthermore, financial statement auditing has historically served as a simplistic pass/fail exercise; an unqualified opinion means "pass," an adverse opinion
means "fail," a qualified opinion means "pass, except for .
If financial statement disclosure is inadequate, a qualified or adverse opinion
is required because of a departure from generally accepted accounting principles.
The Auditor%s opinion shall be unqualified unless the Auditor furnishes the City, on a timely basis, the reasons for qualifying the opinion, disclaiming an opinion, or rendering an adverse opinion
On the other hand, if the auditor found material weakness in ICOFR and management did not, the auditor must issue an adverse opinion
on management's assessment of the effectiveness of ICOFR.
Under certain circumstances, the auditor also may be required to issue a qualified or adverse opinion
or withdraw from the audit engagement.
The Auditors% opinion shall be expressed in the report and include his reasons for qualifying the opinion, disclaiming an opinion, or rendering an adverse opinion
Insist the financial statements be revised and, if they are not, express a qualified or adverse opinion
on the statements, disclosing all substantive reasons for the opinion.
The Auditor s opinion shall be unqualified unless the auditor furnishes SPSA by September 30 of each year the reasons for qualifying the opinion, disclaiming an opinion, or rendering an adverse opinion
Because the auditor's opinion is "as of" the balance sheet date, the auditor must issue an adverse opinion
on internal control when material weaknesses exist, even when the company receives an unqualified opinion on the financial statements.
If the auditor concludes that illegal acts have a material direct or indirect effect on the financial statements, and that effect is not appropriately reflected, the auditor should express a qualified or adverse opinion
because of the lack of conformity with GAAP.