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October 26, 2022

Your neighbor Brian Porter invited you to lunch yesterday. Sure enough, it was no “free lunch” because Brian wanted to discuss the annual report of Midway Corporation.

Your neighbor Brian Porter invited you to lunch yesterday. Sure enough, it was no “free lunch” because Brian wanted to discuss the annual report of Midway Corporation. He owns Midway stock and just received the annual report. Brian says, “Our auditors prepared the audited financial statements and gave an unqualified opinion, so my investment must be safe, right?”

What misconceptions does Brian Porter seem to have about the auditor’s role with respect to Midway Corporation? Reference this week’s lecture to inform your post. Respond to at least two of your classmates’ posts.

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