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Accounting & Tax vocabulary · Auditing & Internal Control

Audit opinion

Meaning in accounting & tax, with examples

nounCommon term

In accounting & tax, audit opinion means: The auditor's formal conclusion, given in the audit report, on whether the financial statements are fairly presented in all material respects.

In Turkish: denetim görüşü, denetçi görüşü

How it is used

An unqualified (clean) opinion is the best outcome. The others are a qualified opinion, an adverse opinion and a disclaimer of opinion. Auditors issue or express an opinion.

Example sentences

  1. The company received a clean audit opinion for the fifth year in a row.

  2. A qualified audit opinion can worry banks and investors.

Common collocations

  • clean audit opinion
  • qualified opinion
  • adverse opinion
  • disclaimer of opinion
  • issue an opinion
  • auditAn independent examination of a company's financial statements and records to check that they are accurate and follow the applicable rules.
  • auditorA qualified professional who examines a company's accounts and records and gives an independent view on whether they are reliable.
  • materialityThe idea that an error or omission matters if it is large or important enough to change the decisions of people who read the financial statements.
  • going concernThe assumption that a business will continue operating for the foreseeable future, at least twelve months, rather than being closed down or sold off.
  • misstatementA difference between an amount shown in the financial statements and the amount that should be shown, caused by error or fraud.

More terms: Auditing & Internal Control

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This page explains English vocabulary for learners. It is not financial advice.