An auditor concludes that there is substantial doubt about an entity's ability to continue as a going concern for a reasonable period of time. If the entity's financial statements adequately disclose its financial difficulties, the auditor's report is required to include an explanatory/emphasis-of-matter paragraph that specifically uses the phrase(s)
A. "Reasonable period of time, not to exceed one year" and "going concern."
B. "Reasonable period of time, not to exceed one year" but not "going concern."
C. "Going concern" but not "reasonable period of time, not to exceed one year."
D. Neither "going concern" nor "reasonable period of time, not to exceed one year."
Answer: "Going concern" but not "reasonable period of time, not to exceed one year."
If the answers is incorrect or not given, you can answer the above question in the comment box. If the answers is incorrect or not given, you can answer the above question in the comment box.