%0 Journal Article
%T FTX¡ªThe Plausbility of an Unmodified Audit Opinion on an Organization That Lacks Internal Control; A Deep Dive into the Standards
%A Nicole Wald
%J Open Journal of Accounting
%P 26-35
%@ 2169-3412
%D 2023
%I Scientific Research Publishing
%R 10.4236/ojacct.2023.122003
%X FTX Group
was plagued with material related party transactions as well as an
¡°unprecedented¡± lack of internal control. Yet, despite these issues, two of the
four FTX ¡°Silos¡± were give<span><span><span style=\"font-family:;\" \"=\"\">n</span></span></span><span><span><span style=\"font-family:;\" \"=\"\"> unmodified audit opinions. The purpose of this paper is not to rehash
what went wrong, how and where. Rather, this paper calls into question the
ability for a public accounting firm to issue an unmodified opinion on the
financial statements of FTX. I will explore the relevant auditing standards and
guidance provided to auditors to determine the appropriateness of issuing an
unmodified opinion. Ultimately, I determine that a Disclaimer of Opinion on the
Financial Statements is the only appropriate report to issue when an entity has
pervasive and material related party transactions and lacks internal control.</span></span></span>
%K FTX
%K Cryptocurrency
%K Internal Control
%K Material Weakness
%U http://www.scirp.org/journal/PaperInformation.aspx?PaperID=124711