Final answer:
True, an explanatory paragraph is added after the opinion paragraph when a qualified opinion is issued to detail the nature of the qualification.
Step-by-step explanation:
The statement given in the student's question is true. When an auditor issues a qualified opinion on a company's financial statements, an explanatory paragraph is indeed added after the opinion paragraph. The purpose of this additional paragraph is to explain the nature of the qualification and to ensure that the readers of the financial statements understand the reasons why the auditor could not provide an unqualified or 'clean' opinion.
This explanatory paragraph provides in-depth material that sheds light on any discrepancies, gaps, or issues that the auditor has identified during the process of auditing the company's financial reports. Therefore, the statement that a qualified opinion is accompanied by an explanatory paragraph immediately following the opinion paragraph can be considered accurate.