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Question :-

An auditor includes a separate paragraph in an otherwise unmodified report to emphasize that the entity being reported on had significant transactions with related parties. The inclusion of this separate paragraph:
Is considered an "except for" qualification of the opinion.
Violates generally accepted auditing standards if this information is already disclosed in footnotes to the financial statements.
Necessitates a revision of the opinion paragraph to include the phrase "with the foregoing Explanation: ."
Is appropriate and would not negate the unqualified opinion.

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