The auditor’s report basically is an expression of the auditor’s opinion about the fairness and integrity of the financial statements. The first part of the report is an introductory paragraph that says that it was the responsibility of the client to keep proper records and make financial statements. The next paragraph of the report is the scope in which the purpose and the nature of the audit are stated. The third paragraph is the opinion portion and this is where the auditor expresses whether the financial statements are proper or not in the auditor’s opinion. When there is no problem then an “unqualified report” is issued, a qualified opinion issued when there are a few problem areas and an adverse opinion when the financial statements do not meet the criteria.
