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Auditing & Assurance › Audit Report & Opinions

How do subsequent events discovered after the report date affect the opinion?

Intermediate

Answer

If facts become known after the report date but before issuance that would have changed the report, the auditor discusses with management, considers whether the statements need amendment, and if so, extends procedures and re-dates or dual-dates the report. After the statements are issued, discovering such facts may require management to revise and the auditor to issue a new report; the auditor takes action if management doesn't.
Real-world example A material error found after the report date but before issuance leads management to amend the accounts and the auditor to re-date the report.

Common follow-ups: What is dual dating? | What if facts emerge after issuance?

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All 19 Audit Report & Opinions questions