An auditor has completed an audit on a public company. During the audit, it was determined that the client did not properly accrue for a loss contingency. Assuming the amount of the loss contingency is material, but not pervasive, the auditor will issue an adverse opinion. a. True b. FalseThe audit report is important to the audit opinion formulation process since it communicates relevant information to the financial statement users, both internal and external, resulting from the audit.
a. True
b. False