An auditor has been asked to report on the balance sheet of Kane Company but not on the other basic financial statements. The auditor will have access to all information underlying the basic financial statements. Under these circumstances, the auditor:
A. Should refuse the engagement because of a departure from generally accepted auditing standards.
B. Should refuse the engagement because there is a client-imposed scope limitation.
C. May accept the engagement but must disclaim an opinion because of an inability to apply the procedures considered necessary.
D. May accept the engagement.
Answer: D
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