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2. Auditors should accept some of the blame when a company on which they have expressed...

2. Auditors should accept some of the blame when a company on which they have expressed an unmodified audit opinion subsequently fails, and they should also do more to highlight going concern problems being faced by a company. Discuss this statement.

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Answer ; firstly the auditor to follow particular procedures to satisfy himself that going concern assumption is holding good for that he has to follow some procedure here some of the list below

(1) Analyse and discuss cash flow, profit and other relevant forecasts with management.
(2) Analyse and discuss the entity's latest available interim financial statements.
(3) Read the terms of debentures and loan agreements and determine whether any have been breached.

If auditor is seen that if after following above procedure the going concern is not holding good he should issue qualified opinion and state the reason in auditor report

Thank you hope this helps you

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