Hi dig,
That is a buttress against some portion of a material problem.
Combining sets of accounts - and here we are talking a combination which requires an examination of books over several years (and who knows, perhaps the turnover of staff) - is difficult to begin with. In a situation in which material errors have been uncovered, the order of magnitude increases.
If someone has defrauded the company, for instance, then there's the issue of trying to discover something which was probably deliberately obscured and whose scale may be difficult to determine.
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