In our audit reports, the Auditor-General expresses satisfaction or non-satisfaction of the financial statements through audit opinions. These opinions are unqualified, qualified, adverse or disclaimer. The specific explanations on the opinions are as outlined below:
Anunqualified opinion is a clean opinion, meaning that the financial transactions by and large were recorded properly and are in agreement with the accounting records.
A qualified opinion means that although by and large the financial transactions are recorded and are deemed to be in agreement with the accounting records, there may be cases where the Auditor-General is unsatisfied with the veracity of certain expenditures, which may not be significant. Hence, except for such unsupported expenditure, the accounts reflect a true and fair situation.
Anadverse opinionmeans that although the financial transactions are recorded, the Auditor-General may be unsatisfied with significant amounts of expenditure.
Adisclaimer of opinion is serious and means that there was no basis upon which the Auditor-General can satisfactorily undertake an audit because the accounting records are unreliable; there are no verifiable supporting documentation and explanations for transactions. Consequently, the Auditor-General can neither give a qualified nor an adverse opinion; and gives a disclaimer.