What level of assurance does an audit provide for Carbones Pizzeria's financial statements?
Carbones_Pizzeria Franchise · 2025 FDDAnswer from 2025 FDD Document
LLP Certified Public Accountants and Business Consultants
Member of American Institute of Certified Public A--Member of American Institute of Certified Public Accountants and California Society of Public Accountants Participant in Quality Review Program of AICPA
INDEPENDENT AUDITOR'S REPORT
To the Stockholder M & T Pizza Incorporated and Subsidiaries St. Paul, Minnesota
Opinion
We have audited the accompanying consolidated financial statements of M&T Pizza Incorporated and Subsidiaries ("the Company"), a Minnesota corporation, which comprises the consolidated balance sheet as of October 31, 2022, and the related consolidated statements of income, changes in stockholder's equity, and cash flows for the year then ended and the related notes to consolidated financial statements.
In our opinion, the consolidated financial statements referred to above present fairly, in all material respects, the financial position of the Company as of October 31, 2022, and the results of its operations and its cash flows for the year then ended in accordance with accounting principles generally accepted in the United States of America.
Basis for Opinion
We conducted our audit in accordance with auditing standards generally accepted in the United States of America. Our responsibilities under those standards are further described in the Auditor's Responsibilities for the Audit of the Financial Statement section of our report. We are required to be independent of M&T Pizza Incorporated and Subsidiaries and to meet our other ethical responsibilities in accordance with the relevant ethical requirements relating to our audit. We believe that the audit evidence we have obtained is sufficient and appropriate to provide a basis for our audit opinion.
Emphasis of Matter
As discussed in Note (G) to these financial statements, on March 11, 2020, the World Health Organization declared the novel strain of coronavirus (COVID-19) a global pandemic and recommended containment and mitigation measures worldwide. The ultimate financial impact and duration of these events cannot be reasonably estimated at this time. Our opinion is not modified with respect to that matter.
Source: Item 22 — CONTRACTS (FDD page 30)
What This Means (2025 FDD)
According to the 2025 FDD, an independent auditor's report on Carbones Pizzeria's consolidated financial statements for the year ending October 31, 2022, states that the audit was conducted in accordance with generally accepted auditing standards in the United States of America. The auditor believes the evidence obtained was sufficient and appropriate to provide a basis for their opinion.
The auditor's opinion is that the financial statements present fairly, in all material respects, the financial position of M&T Pizza Incorporated and Subsidiaries as of October 31, 2022, and the results of its operations and its cash flows for the year then ended, in accordance with accounting principles generally accepted in the United States of America.
This type of audit provides a high level of assurance that the financial statements are free from material misstatement. The auditor is required to be independent and meet ethical responsibilities. However, an emphasis of matter notes that the COVID-19 pandemic's ultimate financial impact and duration could not be reasonably estimated at the time, and the opinion was not modified with respect to that matter.