Blinkhorn Is Currently Being Audited and the Auditor Has Discovered

Multiple Choice

Blinkhorn is currently being audited and the auditor has discovered that the payroll function is outsourced to a third party contractor called Wages R Us The auditor has contacted Wages R Us but they state that are unable to provide them with the payroll records of Blinkhorn as a recent fire has caused a catastrophic loss of data. The wages figure is material to the calculation of the profit or loss for the year. ?
What action should the auditor take?

A) The auditor should issue an unmodified audit report with an Emphasis of Matter Paragraph.
B) The auditor should issue a modified audit report with an adverse audit opinion
C) The auditor should issue a modified audit report with an 'except for' paragraph.
D) The auditor should immediately resign and inform the shareholders.