When an Auditor Accepts an Audit Engagement but Does not

Multiple Choice

When an auditor accepts an audit engagement but does not possess the industry expertise of the business entity involved,the auditor should:

A) Engage financial experts familiar with the nature of the business entity.
B) Obtain a knowledge of matters that relate to the nature of the entity's business.
C) Refer a substantial portion of the audit to another CPA who will act as the principal auditor.
D) First inform management that an unqualified opinion cannot be issued.