Audit Poll
Shah & Associates were appointed as auditors of Calm Limited for the financial year 2020-21. CA Samay is the engagement partner for the said assignment. The auditor noticed that the company has not bifurcated its loan into the long term and short term. The auditor decides to give a qualified opinion as the effect of such misstatement is material but not pervasive. The company is unhappy with the conclusion of the audit report and threatens to switch auditors next year. CA Samay changed the opinion from qualified to unqualified. Which threat is highlighted in the above case?
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