The 2 Types of Audit Reports in New South Wales

After conducting a financial audit, the auditors will typically produce an audit report that outlines their assessment of the company’s financial reporting and overall position. The auditor’s opinion will vary depending on the accuracy of financial information and how well the company complies with Australian Accounting Standards. Here we examine the main forms of audit reporting and how the team at Brown Auditing Services can help companies in New South Wales.

H2: Unqualified Report or Unqualified Audit Opinion

An unqualified audit opinion means the auditors found there were no discrepancies, misstatements or other issues with the company’s financial reporting and the company is fully compliant in accordance with Australian Accounting Standards. It can also be referred to as a clean report, indicating the auditors have concluded there is no need to make adjustments or correct any issues.

An unqualified report is positive news that indicates to investors, lenders, regulatory bodies and other interested parties that external auditors are satisfied with the company’s financial reporting and performance.

H2: Qualified Report or Qualified Opinion Audit

If the company’s financial reporting doesn’t comply with the Australian Accounting Standards or other relevant legislation, auditors will provide a qualified opinion audit. This means that, after obtaining sufficient audit evidence, there appears to be individual or multiple misstatements in financial reporting, but they are not pervasive.

It can also mean the financial auditor is unable to obtain sufficient appropriate evidence to base an opinion on but that there may be potential undetected misstatements. A qualified opinion audit will generally outline the auditor’s opinion regarding areas in which they recommend changes or believe the company can improve their reporting and record keeping.

Audit Reporting Services in NSW

To schedule a financial audit for your company or to find out how our auditors can help your business, get in touch with the team at Brown Auditing Services for a no obligation consultation. Call us 0428 661 200 or contact us online for auditing services in NSW and other suburbs of New South Wales.