When might an accountant issue a qualified opinion?

What will be an ideal response?


In some instances, the accountant will issue a qualified opinion. For example, litigation may be pending against the client. The uncertainty over how the litigation will be decided may cast a cloud of doubt over the financial picture of the client. The accountant will be relieved from any responsibility for major changes in the client's financial position due to an unfavorable verdict if he clearly stated his qualification in an opinion letter.

Business

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