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Point 1: SecondBite Foundation is a non-for-profit organisation and a non-reporting entity. In the last three years, you have been performing their audits in accordance with its constitution. The financial reports are prepared by another accounting firm on behalf of SecondBite's board of directors, because SecondBite does not have internal accounting expert to perform this function. During your review of the internal control structure, you acknowledged that SecondBite did not have adequate controls over the collection of income to enable you to be satisfied that all income received was recorded. However, you have been satisfied that the organisation has accurately accounted for all income recorded.
Question a. Identify the type of auditor's report to be issued for each of the above situations
Question b. Justify your answer by discussing the relevant audit issues you have considered in forming your opinion
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