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Matter paragraph is essential for justifying the various aspects of the Audit report, further it is helpful in identifying the views of the auditor in regards to the suggestions & recommendations made for improvement in the near future.
Matter Paragraph describes the matter giving rise to the significant uncertainty and its possible effects on the financial statements.
if the auditors have substantial doubts that the company has ability to stay in the business, they will draw attention to this by an emphasis of Matter Paragraph.
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