Audit Reports

1. Unqualified Opinion - financial statements are presented fairly without material error
• terms: "present fairly"
2. Qualified Opinion - financial statements are presented fairly except for certain matters that have deviated from GAAP/GAAS
• no misrepresentation have been identified 
• additional paragraph to highlight why report is not an unqualified opinion
• terms: "except for"
3. Adverse Opinion - material departure from GAAP
• financial statements are materially misstated as a whole
• worst opinion!
• terms: "do not present fairly"
4. Disclaimer of Opinion - material departure from GAAS 
• auditor is unable to obtain sufficient, appropriate audit evidence 
• auditor does not express an opinion 
• terms: "engaged to audit", "not able to obtain" 
• auditor is associated with FS of a public company but has not audited/reviewed the statements

Withdraw - false, fraud, deceptive, misleading!

Emphasis-of-Matter Paragraph: refers to some aspect of the financial information included in the financial statements

Other-Matter Paragraph: refers to some aspect of the financial information that is not explicitly included in the financial statements