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Audit report has to be qualified if it is material to the financial statement. In the stated case, it is violation of the Companies Act, 2013. The decision to qualify the audit report should be based on the fact whether the loan is material to the financial statement. For the above purpose, materiality has to calculated while planning the audit.
Audit report has to be qualified if it is material to the financial statement. In the stated case, it is violation of the Companies Act, 2013. The decision to qualify the audit report should be based on the fact whether the loan is material to the financial statement. For the above purpose, materiality has to calculated while planning the audit.
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