ustomer's financial statements. A disclaimer of opinion means the auditor does not assume responsibility for the accuracy of the company's financial statements.
An "adverse opinion" is the most serious of all the letters that can accompany a customer's financial statements. An auditor sends an adverse opinion letter when the auditor discovers information during the audit that demonstrates material noncompliance. An adverse opinion letter states that the customer's financial position is not fairly presented by the statements submitted. Herbert A. Freimark explains that accountants may issue an adverse opinion on one type of financial statement, such as the balance sheet, while giving another kind of opinion on the other statements (Freimark 100).
An unqualified opinion issued by an independent auditor is not a "clean bill of financial health" for the company under audit. An unqualified opinion means
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