What is the auditor's opinion based on when issuing a report for iTan's financial statements?
Itan Franchise · 2025 FDDAnswer from 2025 FDD Document
We have audited the accompanying financial statements of iTan Franchising, Inc., which comprise the balance sheets as of December 31, 2024 and 2023, and the related statements of earnings, stockholder's equity, and cash flows for the years then ended, and the related notes to the financial statements.
In our opinion, the financial statements referred to above present fairly, in all material respects, the financial position of iTan Franchising, Inc. as of December 31, 2024 and 2023, and the results of its activities and its cash flows for the years then ended in accordance with accounting principles generally accepted in the United States of America.
Basis for Opinion
We conducted our audits 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 Statements section of our report. We are required to be independent of iTan Franchising, Inc. and to meet our other ethical responsibilities in accordance with the relevant ethical requirements relating to our audits. We believe that the audit evidence we have obtained is sufficient and appropriate to provide a basis for our audit opinion.
Source: Item 23 — RECEIPT (FDD pages 44–190)
What This Means (2025 FDD)
According to Itan's 2025 Franchise Disclosure Document, the auditor's opinion is based on their audit of Itan's financial statements. These statements include the balance sheets as of December 31, 2024 and 2023, and the related statements of earnings, stockholder's equity, and cash flows for the years then ended, along with the related notes to the financial statements. The auditor's opinion confirms whether these financial statements present fairly, in all material respects, the financial position of Itan as of those dates, and the results of its activities and cash flows for the years then ended, in accordance with accounting principles generally accepted in the United States of America.
The auditor conducts their audits in accordance with auditing standards generally accepted in the United States of America. These standards require the auditor to be independent of Itan and to meet ethical responsibilities relevant to the audits. The auditor's responsibilities include obtaining reasonable assurance about whether the financial statements are free from material misstatement, whether due to fraud or error, and issuing a report that includes their opinion. However, reasonable assurance is not absolute, and there is a risk that a material misstatement may not be detected.
In performing the audit, the auditor exercises professional judgment and maintains professional skepticism, identifies and assesses the risks of material misstatement, obtains an understanding of internal control, evaluates the appropriateness of accounting policies, and concludes whether there are conditions that raise substantial doubt about Itan's ability to continue as a going concern. The auditor also communicates with those charged with governance regarding the planned scope and timing of the audit, significant audit findings, and certain internal control related matters. The auditor believes that the audit evidence they have obtained is sufficient and appropriate to provide a basis for their audit opinion.