A disclaimer indicates that the auditors were engaged to perform an audit, but are unable to express an opinion. This may be due to a lack of independence on the auditors’ part; limitations on the scope of the audit, for example, the inability to obtain sufficient evidence; or may be due to substantial doubts about the entity as a “going concern”, or material uncertainties for which the auditors were unable to obtain reasonable assurance about the outcome.
Summary
In practice, issues that could result in misstatements are often cleared up between the auditors and management before the financial statements are published, with any appropriate adjustments being made. And while an audit opinion is not intended to be a certification of the financial statements, it represents an important part of the overall presentation.