11. After the balance sheet date, but prior to the issuance of the audit report, the client suffers anuninsured loss of their inventory as a result of a fire. The amount of the loss is material. Theauditor should
(A) adjust the financial statements for the year under audit.
(B) add a paragraph to the audit report.
(C) advise the client to disclose the event in the notes to the financial statements.
(D) advise the client to delay issuing the financial statements until the economic loss can bedetermined.