@Qlad to your question: The answer is D.
If an accountant concludes that unaudited financial statements of an issuer on which the accountant is disclaiming an opinion also lack adequate disclosure, the accountant should suggest appropriate revision. If the client does not accept the accountant’s suggestion, the accountant should
A. Accept the client’s inaction because the statements are unaudited and the accountant has disclaimed an opinion.
B. Refer to the appropriate revision and issue a modified report expressing limited assurance.
C. Express an adverse opinion and describe the appropriate revision in the report.
D. Describe the appropriate revision to the financial statements in the accountant’s disclaimer of opinion.
The way I see it, the question itself have clues already. First the word UNAUDITED = meaning either compilation or review. Second, the word DISCLAIMING an opinion. So, we were engaged in compilation or review and we are expressing a disclaimer opinion if the client did not accept our suggestion. If client refused for these engagements, I think we have two options. first is to withdraw most specially for pervasive circumstances. Second, is to disclaim an opinion if by law and regulation we cannot withdraw. Since there is no option to withdraw, disclaiming an opinion includes describing the matter about needed appropriate revision of FS.
let's see what others have to say. but that's the way I see it. hope it helps.
AUD - 79 (expired) retaking July 28,2016
FAR - 76 expiring July 31, 2016
BEC - 85
REG - 74,74,74,74,59,70,
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