Rachel, CPA, Is Conducting an Audit of Eaton Enterprises, a Nonissuer

Multiple Choice

Rachel, CPA, is conducting an audit of Eaton Enterprises, a nonissuer. Rachel has conducted her audit in accordance with generally accepted auditing standards, and she wishes to emphasize in her report that such standards do not require the same level of testing and reporting on internal control as is required for audits of issuers under the Sarbanes-Oxley Act. Which report modification would be most appropriate in this situation?

A) Only the scope paragraph should be modified.
B) An explanatory paragraph should be added following the opinion paragraph.
C) An explanatory paragraph should be added preceding the opinion paragraph, and the opinion paragraph should state, "Except for the matter discussed in the preceding paragraph..."
D) No report modification should be made in this scenario.