What type of opinion is issued when there has been an inability to obtain sufficient appropriate audit evidence over a material and pervasive matter?

When there is an inability to obtain sufficient appropriate audit evidence regarding a material and pervasive matter, a disclaimer of opinion is issued. This type of opinion signifies that the auditor is unable to form an opinion on the financial statements due to a limitation in the audit scope. The limitation may arise from circumstances beyond the auditor's control or from potential management restrictions.

A disclaimer indicates that the uncertainty is so significant that it prevents the auditor from providing any assurance about whether the financial statements are presented fairly in accordance with the applicable financial reporting framework. This distinguishes it from a qualified opinion, where the auditor can express an opinion on the financial statements as a whole but must highlight specific issues. In contrast, an unmodified opinion indicates that the financial statements present a true and fair view without any reservations, which is not possible in situations where evidence is insufficient. An adverse opinion, on the other hand, is issued when the financial statements are materially misstated; therefore, the auditor explicitly states that the financial statements do not present a true and fair view.

In summary, a disclaimer of opinion is the appropriate response when audit evidence is inadequate for the auditor to form a definitive conclusion on the overall financial statements.