In Class # 1.1
(a) The client’s records are inadequate and the auditor is unable to obtain sufficient
(b) There is a material uncertainty that casts a significant doubt on the entity’s ability to
continue as a going concern 1 and this uncertainty is adequately disclosed.
(c) There is a departure from GAAP accounting concerning a highly material item.
(d) The client will not allow the auditor to contact the client’s legal counsel.
(e) The client’s accounting records have been destroyed.
(f) There is a material misstatement in the client’s inventory account. The misstatement is
deemed to be material but not pervasive to the financial statements.
(g) Inventories are misstated. The misstatement is deemed to be material but not pervasive to
the financial statements.
(h) There is an uncertainty relating to a pending exceptionally large litigation matter that is
adequately disclosed in the notes.
What type of audit report would be appropriate in