harris will have access to all information underlying the basic financial statements 602365

Harris, CPA, has been asked to audit and report on the balance sheet of Fox Co. but not on the statements of income, retained earnings, or cash flows. Harris will have access to all information underlying the basic financial statements. Under these circumstances, Harris may

1. Not accept the engagement because it would constitute a violation of the profession’s ethical standards.
2. Not accept the engagement because it would be tantamount to rendering a piecemeal opinion.
3. Accept the engagement because such engagements merely involve limited reporting objectives.
4. Accept the engagement but should disclaim an opinion because of an inability to apply the procedures considered necessary.