Quick Definition

A qualified opinion is a statement issued by an auditor indicating that most parts of an organization's financial statements are accurate, but some areas are uncertain or did not follow GAAP.

Examples

• 1An auditor issues a qualified opinion when a company has not followed GAAP for certain transactions but is otherwise compliant.
• 2A qualified opinion may be given if the auditor could not audit certain parts of the financial statements due to missing information.
• 3A company receives a qualified opinion when there are discrepancies in inventory records that affect the financial statements.
• 4A qualified opinion might be issued if a company has restricted the scope of the auditor’s examination, leading to uncertainties in the financial report.

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