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An auditor's report (also called the auditor's opinion) is issued as part of a company's audited financial report. It tells the end-user the following:

  • Whether the financial statements are presented in accordance with generally accepted accounting principles.

  • It identifies those circumstances in which such principles have not been consistently observed in the current period in relation to the preceding period.

  • Informative disclosures in the financial statements are to be regarded as reasonably adequate unless otherwise stated in the report.

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Subject 4. Auditor's Reports
to be sure that there are no material errors in the financial statements. Though hired by the management, the auditor is supposed to be independent and to serve the stockholders and the other users of the financial statements. <span>An auditor's report (also called the auditor's opinion) is issued as part of a company's audited financial report. It tells the end-user the following: Whether the financial statements are presented in accordance with generally accepted accounting principles. It identifies those circumstances in which such principles have not been consistently observed in the current period in relation to the preceding period. Informative disclosures in the financial statements are to be regarded as reasonably adequate unless otherwise stated in the report. An auditor's report is considered an essential tool when reporting financial information to end-users, particularly in business. Since many third-party users prefer


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