During an audit, the auditor becomes aware that management has imposed a limitation on the scope of the audit after the engagement was accepted.…

As per the requirements of SA 705, "Modifications to the Opinion in the Independent Auditor's Report" - If, after accepting the engagement, the auditor becomes aware that management has imposed a limitation on the scope of the audit that the auditor considers is likely to result in the need to express a qualified opinion or to disclaim an opinion on the financial statements, the auditor shall request that management remove the limitation.If management refuses to remove the limitation referred above, the auditor shall communicate the matter to those charged with governance, unless all of those charged with governance are involved in managing the entity and determine whether it is possible to perform alternative procedures to obtain sufficient appropriate audit evidence.If the auditor is unable to obtain sufficient appropriate audit evidence, the auditor shall determine the implications as follows: (I) If the auditor concludes that the possible effects on the financial statements of undetected misstatements, if any, could be material but not pervasive, the auditor shall qualify the opinion; or (II) If the auditor concludes that the possible effects on the financial statements of undetected misstatements, if any, could be both material and pervasive so that a qualification of the opinion would be inadequate to communicate the gravity of the situation, the auditor shall: Withdraw from the audit, where practicable and possible under applicable law or regulation; orIf withdrawal from the audit before issuing the auditor's report is not practicable or possible, disclaim an opinion on the financial statements.If the auditor withdraws as contemplated by point (b) (i) above, before withdrawing, the auditor shall communicate to those charged with governance any matters regarding misstatements identified during the audit that would have given rise to a modification of the opinion.