Jamison, CPA, is auditing the financial statements of Deegan Industries. Jamison had obtained appropriate audit evidence, sufficient to support an opinion, by January 24, year 3, and issued his audit report (dated January 24, year 3) on February 12, year 3. In which case would Jamison most likely use dual dating?
A. On January 18, year 3, the partner in charge of the Deegan audit retired and was replaced by an alternative partner.
B. On February 10, year 3, a fire occurred at Deegan's manufacturing plant. The fire had no material effect on Deegan's year 2 financial statements, and no disclosure of the fire was deemed necessary.
C. On January 10, year 3, one of Deegan's primary customers declared bankruptcy due to its deteriorating financial condition. As a result, Deegan wrote off a material account receivable that had been included in the year 2 balance sheet. A note was also added to the year 2 financial statements to discuss the financial impact of losing this customer.
D. On February 8, year 3, a lawsuit in which Deegan was the defendant was settled out of court. The year 2 financial statements were appropriately adjusted to reflect the resolution of this matter, and a footnote explanation was