Modifications to Audit Reports that Do Not Affect the Audit Opinion

Depending on the nature, magnitude, and pervasiveness of the potential effects of the matters in question, as well as their significance to the financial statements, qualified opinions or disclaimers often result from scope limitations or restrictions that may be imposed by clients or by circumstances that preclude the auditor from forming an unqualified opinion. [...]AU-C 930.42-.43 states that an auditor is required to include an other-matter paragraph when interim financial information that has been reviewed in accordance with AU-C 930, "Interim Financial Information," is included in a document containing audited financial statements does not appear to be presented in accordance with the applicable financial reporting framework, and the auditor's separate review report referring to the departure is not presented. AR-C 80 does not provide for emphasis-of-matter paragraphs specifically by name or, except as noted in the last bullet below, other-matter paragraphs, but does provide similarly for nonstandard additional paragraphs whenever- * the financial statements are prepared in accordance with a special purpose framework (AR-C 80.21), * the reporting accountant is not independent (AR-C 80.22), * the financial statements omit substantially all required disclosures (AR-C 80.27), * the financial statements are accompanied by supplementary information that was not subject to compilation procedures, but no separate report on the supplementary information is issued (AR-C 80.35), or * supplementary information is required by a designated accounting standards-setter (RSI). [...]AS 4105.44 and .45 expressly state that without regard to whether the previous annual audit report did or did not contain an explanatory paragraph indicating substantial doubt, the reporting auditor is not required to modify the report when there is adequate and appropriate disclosure in the interim financial information, even if conditions that raise such doubt exist or continue to exist as of the interim reporting date.