What is meant by negative assurance?
AThe auditor cannot give an opinion due to lack of evidence.
BThe auditor did not find anything to indicate that a material misstatement exists.
CThe auditor could not conduct any tests due to lack of controls.
DThe client’s financial statements were found to be materially misstated.
Correct answer
B. The auditor did not find anything to indicate that a material misstatement exists.
Explanation
The auditor did not find anything to indicate that a material misstatement exists. is the correct answer. Review the question and compare it with the other choices to remember this fact for future exams.