Which phase results in the audit report and opinion being prepared?

• A. Planning
• B. Internal Control
• C. Testing
• D. Reporting

Answer: (D)

The phase that yields the formal audit report and opinion is the reporting stage. After planning sets the scope, identifying risks, and designing procedures; after evaluating internal controls and performing testing to gather evidence; the final step is to compile the audit findings, form the overall opinion, and communicate them in the audit report. Planning, control assessment, and testing are about preparing and gathering evidence, whereas reporting is specifically about presenting the conclusions and opinion to users.