Auditing and Attestation- Certified Public Accountant (CPA) Practice Exam -

What type of opinion is least likely to be rendered when an audit procedure cannot be completed?

1. Adverse opinion

2. Qualified opinion

3. Unmodified opinion

4. Disclaimer of opinion

The correct answer is: Unmodified opinion

An unmodified opinion indicates that the financial statements present a true and fair view in accordance with the applicable financial reporting framework. This type of opinion is issued when the auditor has obtained sufficient and appropriate audit evidence to support the conclusion about the financial statements. If an audit procedure cannot be completed, it implies that the auditor might not have sufficient evidence to form a complete opinion. Therefore, an unmodified opinion is unlikely because this opinion requires a high level of assurance. In the context of an incomplete audit, a qualified opinion may be issued if the auditor has sufficient evidence for most areas but not entirely, indicating that the financial statements are fairly presented except for the effects of the matter. An adverse opinion suggests that the financial statements are materially misstated, which can also result from a complete inability to complete audit procedures. A disclaimer of opinion arises when the auditor is unable to obtain sufficient appropriate audit evidence and cannot express an opinion on the financial statements. Given these considerations, an unmodified opinion is the least likely type to be rendered when audit procedures are incomplete since it denotes a level of assurance that cannot be provided in such circumstances.