Why must a auditor stipulate the directors responsibilities in the audit report?

An auditor must stipulate the directors' responsibilities in the audit report to clarify the scope and limitations of the audit. It establishes that the directors are responsible for the preparation and presentation of the financial statements, ensuring transparency regarding their role in maintaining accurate records and internal controls. This delineation helps users of the financial statements understand the context of the auditor's opinion and reinforces the accountability of the directors. Additionally, it provides a framework for assessing the overall governance and management of the entity.