Requested Written Representations Not Provided
If management does not provide one or more of the requested written
representations, the auditor should
a. discuss the matter with management;
b. reevaluate the integrity of management and evaluate the effect
that this may have on the reliability of representations (oral or
written) and audit evidence in general; and
c. take appropriate actions, including determining the possible effect
on the opinion in the auditor's report in accordance with section 705.
.A34 Management's refusal to furnish written representations constitutes
a limitation on the scope of the audit. Such refusal is often sufficient to preclude
an unmodified opinion and, in particular with respect to the representations
in paragraphs .12–.18, may cause an auditor to disclaim an opinion or withdraw
from the engagement when withdrawal is possible under applicable law
or regulation. However, based on the nature of the representations not obtained
or the circumstances of the refusal, the auditor may conclude that a qualified
opinion is appropriate.
AU-C §580
.