Final answer:
Auditors may issue a disclaimer of opinion due to substantial scope limitations or lack of independence. Scope limitations can include a restriction set by the client, while independence refers to the auditor's unbiased stance. The correct answer to the question is e ('Either B or D').
Step-by-step explanation:
Disclaimers of opinion in auditing are declarations made by external auditors indicating that they are unable to form or are refraining from presenting an opinion on the financial statements. Such disclaimers are issued when auditors encounter specific limitations or concerns during their audit work.
A disclaimer of opinion can be issued based on substantial scope limitations, which occur when the auditor is unable to gather sufficient evidence to form an opinion on the financial statements. Examples of scope limitations include restrictions imposed by the client, such as the inability to access important financial data.
Moreover, a disclaimer of opinion may also be issued if there is a lack of independence. Independence is a fundamental principle in auditing, and if auditors have a close relationship with the client that could influence their judgment, they must refrain from providing an opinion to maintain the integrity of the audit process.
In conclusion, disclaimers of opinion can be issued based on either substantial scope limitations or lack of independence, which correlates with option e ('Either B or D').