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CA Ravi Taori

QNO Objectives & Framing Opinion Old Course-- (S17M/N18M/ S20M/S21M/N23M)
700.03 Bhaskar CNO - SA700.120 New Course – (M24M)
In order to form the audit opinion as required by SA 700, the auditor shall conclude as to whether the
auditor has obtained reasonable assurance about whether the financial statements as a whole are free from
material misstatement, whether due to fraud or error. Explain the conclusions that the auditor shall take
into account. Also explain the objective of auditor as per SA 700.
OR
The auditor shall form an opinion on whether the financial statements are prepared, in all material respects,
in accordance with the applicable financial reporting framework. Explain.
OR
G & Associates are the Statutory Auditors of R Ltd., a company engaged in the business of manufacturing
of blankets. The auditor has completed the audit and is in the process of forming an opinion on the financial
statements for the F.Y. 2022-2023. CA L, the engagement partner, wants to conclude that whether the
financial statements as a whole are free from material misstatements, whether due to fraud or error. What
factors he should consider to reach that conclusion?
Answer ➢ Objectives
The objectives of the auditor as per SA 700 (Revised), “Forming an Opinion and Reporting on Financial
Statements” are:
To form an opinion on the financial statements based on an evaluation of the conclusions
drawn from the audit evidence obtained; and
To express clearly that opinion through a written report.

➢ Forming Opinion
The auditor shall form an opinion on whether the financial statements are prepared, in all
material respects, in accordance with the applicable financial reporting framework.
To form opinion - Auditor to obtain Reasonable assurance
In order to form that opinion, the auditor shall conclude as to whether the auditor has
obtained reasonable assurance about whether the financial statements as a whole are free
from material misstatement, whether due to fraud or error.
➢ That conclusion shall take into account:
whether sufficient appropriate audit evidence has been obtained;
whether uncorrected misstatements are material, individually or in aggregate;
The evaluations should include Qualitative Aspect

QNO True & Fair view Old Course--( P16M /M16E/N16R/N17R/M18E /N20M)
700.05 #Unique
What constitutes a 'true and fair' view, is the matter of an auditor's judgement in the particular
circumstances of a case. In order to ensure 'true and fair' view, auditor has to review certain points. Mention
any such 5 (five) points in brief.
OR

The concept of True and Fair is a fundamental concept in auditing. Discuss.
OR
Discuss the concept of True and Fair.
OR
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