A Client Decides to Change Accounting Procedures for Certain Types

Multiple Choice

A client decides to change accounting procedures for certain types of transactions which have a material impact on the financial statements. The client changes from the LIFO method of inventory valuation to the FIFO method without justification. The auditor should issue what type of opinion?

A) Adverse opinion.
B) Disclaimer of opinion.
C) Qualified opinion.
D) Depending on the circumstances, the auditor may choose either "a" or "c" above.