[Anonymous]

Can someone clarify this question for me:

A material weakness that exists at year-end may result in what type of audit opinion when conducting an audit of a public company’s internal control?

a) Qualified

b) Adverse

c) Qualified and Adverse

d) none of the above

The answer is (b) Adverse. I’m not sure if i’m understanding the question incorrectly because I thought you can’t give an internal control an adverse opinion. The question is asking what opinion you’d give to a public company’s internal control, right?

[SpartanCPA]

I believe when you are doing an audit of financial statements, you don't issue an opinion on internal control, but if you're doing an audit of internal control, then you would issue an opinion. In this case, any material weaknesses that exists, thus causing internal controls to be ineffective, would result in an adverse opinion.

AUD - 01/18/14 - 81
BEC - 05/29/14 - 85
FAR - 07/18/14 - 81
REG - 11/18/14 - 80

Becker CPA Review
NINJA Audio
Michigan State University

[SpartanCPA]

I believe when you are doing an audit of financial statements, you don't issue an opinion on internal control, but if you're doing an audit of internal control, then you would issue an opinion. In this case, any material weaknesses that exists, thus causing internal controls to be ineffective, would result in an adverse opinion.

AUD - 01/18/14 - 81
BEC - 05/29/14 - 85
FAR - 07/18/14 - 81
REG - 11/18/14 - 80

Becker CPA Review
NINJA Audio
Michigan State University

[Anonymous]

To anyone who's still interested in the answer…

Material weakness that exists at year-end must be given an Adverse opinion on internal control.

I found this in Jeff's ninja blitz on internal control part 3: https://www.another71.com/aud-blitz?inf_contact_key=9404e65681efd2a47a710f1114d9fcb764da06c5d1f239d3022056a6a7777c48

[Anonymous]

To anyone who's still interested in the answer…

Material weakness that exists at year-end must be given an Adverse opinion on internal control.

I found this in Jeff's ninja blitz on internal control part 3: https://www.another71.com/aud-blitz?inf_contact_key=9404e65681efd2a47a710f1114d9fcb764da06c5d1f239d3022056a6a7777c48

[Study Monk]

I know there is a link above me that probably proves me wrong, but based on my knowledge I agree with SpartanCPA. You issue a modified opinion when performing an Integrated audit or an Examination on Internal Control. Some corroboration on this would be greatly appreciated as I prefer to use my time doing multiple choice over watching videos at this time in my studies.

I spoke to an ancient wise man who sent me on a mushroom induced journey through an ancient forest to find the key to passing the CPA exam. A talking spider monkey told me to throw the last of my drinking water in the dirt to find what I was looking for. So I followed his instructions and the following message appeared in the soil:

"Do 5000 multiple choice questions for each section"

[Study Monk]

I know there is a link above me that probably proves me wrong, but based on my knowledge I agree with SpartanCPA. You issue a modified opinion when performing an Integrated audit or an Examination on Internal Control. Some corroboration on this would be greatly appreciated as I prefer to use my time doing multiple choice over watching videos at this time in my studies.

I spoke to an ancient wise man who sent me on a mushroom induced journey through an ancient forest to find the key to passing the CPA exam. A talking spider monkey told me to throw the last of my drinking water in the dirt to find what I was looking for. So I followed his instructions and the following message appeared in the soil:

"Do 5000 multiple choice questions for each section"

[Author]

Replies