Unqualified Audit Opinion

A report or opinion on the financial accounts will not be given by the auditor if the books

are not balanced and the financial statements are not correct (Budiman, 2021). Additionally,

GAAP compliance for the reporting period is demonstrated. It is imperative that the auditing

firm's report and opinion contain no qualifications or limitations. Auditors review and double-

check everything to make sure it's accurate. If ABC Corporation has not committed financial

statement fraud and has complied with GAAP requirements, for example, an independent auditor

should reach a favorable conclusion after reviewing the company's financial records, internal

reports, and external procedures.

Investors and customers will have more faith in the business after reviewing its financial

data. The report's emphasis on GAAP compliance should provide investors peace of mind that

they are not dealing with a fraudulent firm and make them more likely to be happy to renew their

agreement with the company. Independent auditors for The Coca-Cola Company found no

reasons to doubt the integrity of the company's 2018 financial accounts. When the external

auditor discovered evidence of misconduct on the part of management, they reported it to the

proper authorities (Fang et al., 2019). After the audit was complete, a report was submitted to

higher-ups for review. The investor took this assurance and used it to double their initial stake.

Quick action may produce greater results. Successes and failures should be reviewed with

upper management at the end of each year. Productivity, learning, and compensation are all

boosted by its capabilities. If workers who have lost faith in management feel they have been

judged honestly, they may be convinced to give it another go. With a flawless score, investors

and lenders will have more faith in your business, making it easier to get financing at more

favorable terms (Budiman, 2021). The trustworthiness of the firm is demonstrated by this film.
Even if the auditor considers every relevant issue, they may still make a mistake. There's a

chance that upper management lied to the auditor on purpose. Inexperienced readers of the report

can get the wrong conclusions.