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maam in this question the 15th question, why is option b wrong? why not unmodified opinion with emphasis fo matter paragraph if financial statements have been amended correctly and the matter is also fundamental to users understanding of financial statements
I don’t think the fact that a bad debt has been written off is fundamental to users understanding of the financial statements anymore than the fact that depreciation has been charged – or interest expensed – or anything, in fact, that has been adjusted.
An EoM refers to a NOTE in the financial statements where a matter is disclosed in more detail – a GOOD example is a NON-adjusting event after the reporting date. I.E. financial statements have NOT been adjusted so it is necessary to draw to users attention a matter that will impact NEXT year’s financial statements.
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