What Is an Auditor's Opinion?

An audit opinion is the opinion and attitude of the auditor on the results of the review. In the Statement of Auditing Standards issued by the American Institute of Certified Public Accountants, audit opinions are divided into unqualified opinions, qualified opinions, negative opinions and refusal to express opinions. The auditor is convinced that the evidence for evaluating the audited unit's financial statements is sufficient. The audited unit's financial statements allow the company's financial status on a certain date and the operating results of the current fiscal year as of that date to comply with generally accepted accounting Principle, and consistent with the principle of consistency, should express an unqualified opinion in the audit report; when the auditor lacks the necessary evidence for certain issues and is neither sure nor timed, he can hold some audit items in the audit report Reserving opinions. When they are convinced that the financial statements fail to allow local disclosure of important facts, auditors should express a negative opinion in the audit report. When the auditors have not performed sufficient audit work to obtain a basis for expressing opinions, or When there is a connection between the personnel and the audited unit that affects independence, the auditor should explain the situation in the audit report and give up the audit opinion. ^[1]

audit opinions

The audit opinion is the opinion and attitude of the auditors on the review results. In the Statement of Auditing Standards issued by the American Institute of Certified Public Accountants, audit opinions are divided into unqualified opinions, qualified opinions, negative opinions and refusal to express opinions. The auditor is convinced that the evidence for evaluating the audited unit's financial statements is sufficient. The audited unit's financial statements allow it to express the financial status of the unit at a certain date and the operating results of the fiscal year ending that date, which are in line with generally accepted accounting Principle, and consistent with the principle of consistency, should express an unqualified opinion in the audit report; when the auditor lacks the necessary evidence for certain issues and is neither sure nor timed, he can hold some audit items in the audit report Reserving opinions. When they are convinced that the financial statements fail to allow local disclosure of important facts, auditors should express a negative opinion in the audit report. When the auditors have not performed sufficient audit work to obtain a basis for expressing opinions, or When there is a connection between the personnel and the audited unit that affects independence, the auditor should explain the situation in the audit report and give up the audit opinion. ^[1]

Audit opinion refers to

Differences between audit opinions and management proposals:

Management proposals and audit opinions are opinions formed by the same audit commission and have a direct interaction relationship; however, there are some obvious differences between the two, mainly including:

1. Different objects. Management proposals and audit opinions are different results of the same audit commissioned project. Management recommendations are made for the internal control related to auditing; the audit object is the accounting statements of the audited unit, and the audit opinions formed therefrom are proposed for the accounting statements.

2. Different responsibilities. The certified public accountant provides management advice to the management of the audited unit on the internal control deficiencies after the audit of the accounting statements. It is not a business agreement and has no statutory responsibility. The audit opinion is an opinion formed on the accounting statements. .

3. The degree of action and influence are different. The management proposal is only provided to the management authority of the audited unit for internal reference. It is not submitted to the outside. It does not serve as an assurance to external parties and should not be used as supporting evidence for other third parties. Audit opinions are the core content of the audit report and should be reported to the outside. Sending, it plays a role of attestation to the outside world, which has a great effect and influence.