Right before the audit report release date for Hewitt Corporation, the audit firm, Jackson CPAs, learn that a major planned secondary stock offering has fallen through. Based on this information, which of the following courses of action should the auditors take?
A. The auditors should consider auditing all of the client's stockholder's equity accounts again, in order to be able to provide the same level of assurance.
B. The auditors should consider discussing the issue with management, and consider recommending note disclosures in the financial statements related to this.
C. The auditors should formally communicate to client management that the audit is over, and they have no legal liability for any litigation related to this failed stock offering.
D. The auditors should consider disclaiming an opinion on the client's stockholders' equity accounts, in order to avoid future litigation related to this area.



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