FINANCIAL STATEMENT
AUDITOR'S OPINION

An accountant's or auditor's opinion is a report that an independent accountant presents to the board of directors and membership describing the scope of the examination of the association's books.

Unqualified Opinion. An "unqualified opinion" means the auditor's opinion of the financial statement is given without any reservations. It means the auditor feels the association followed all accounting rules appropriately and that the financial reports are an accurate representation of its financial condition.

Qualified Opinion. A "qualified opinion" by the auditor means some limitations existed, such as an inability to gather certain information or a significant upcoming event which may or may not occur.

Disclaimer Opinion. A "disclaimer" means the auditor could not express an opinion regarding the company's financial condition due to an inability to gather certain relevant facts.

Adverse Opinion. An "adverse opinion" means the auditor does not believe the association's financial statements are accurate.

Updated by ADAMS KESSLER 8/9/2008