[Anonymous]

I did not understand the below answer explanation form Becker CPA-03309. When auditor qualifies his opinion due to scope limitation such as inability to confirm AR, the wording in the opinion paragraph should indicate that the qualification pertains to the possible effects of FS and not to scope limitation itself.

My question: Isn’t auditors inability to confirm AR a scope limitation?

[Anonymous]

I actually think it means you shouldn't use the words “scope limitation” or “these lousy clients couldn't get their act together” in the scope paragraph, opinion paragraph or the explanatory paragraph. The Example they give says to say in the opinion paragraph that we basically say that we don't know how not confirming the A/R will affect the financial statements and then say everything else rocks the hizzouse :o)

We refer to the effect on the financial statement rather than to the effect on our audit. Hope that helps.

[mla1169]

A scope limitation is perceived to be imposed by the client. Inability to confirm a/r could be because not enough of the clients customers replied, which the client can't control

FAR- 77
AUD -49, 71, 84
REG -56,75!
BEC -75

Massachusetts CPA (non reporting) since 3/12.

[Author]

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