Go AD-Free with CAclubindia Pro and Daily Mobile Updates. Subscribe Now!

different type of audit opinion

Madhavan A.S (16 Points)

24 March 2019

pls elaborate in simple language

Reply
Follow
Share

1 Replies

Sahil Jain (FAFD, DISA, CA) (Practicing Chartered Accountant ) (2476 Points)
Replied 24 March 2019

There are generally 4 types of opinion

1. Unqualified Opinion: This means that financials are correct and no kind of misrepresentation has been found. Also financials complies with GAAP (Generally Accepted Accounting Principles)

2. Qualified Opinion: This means that financials are proper and there is no misrepresentation. However here financials are not in accordance with GAAP

3. Disclaimer Opinion: This opinion is given when auditor is not able to give any opinion either because there are certain financial records missing or auditor is not able to determine financial credibility of company.

4. Adverse Opinion: This opinion is given when auditor is of view that financials are not correct and there is an indication of Fraud. Also here financials are not in accordance with the GAAP

2 Like