Lo 67 1 17 for what primary purpose does the auditor

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Unformatted text preview: cted. 1-14 Which of the following best describes the reason why an independent auditor is often retained to report on financial statements? a. Management fraud may exist, and it is more likely to be detected by independent auditors than by internal auditors. b. Different interests may exist between the entity preparing the statements and the persons using the statements, and thus outside assurance is needed to enhance the credibility of the statements. c. A misstatement of account balances may exist, and all misstatements are generally corrected as a result of the independent auditor’s work. d. An entity may have a poorly designed internal control system. 26/05/11 9:24 PM Confirming Pages 28 Part 1 Introduction to Assurance and Financial Statement Auditing LO 4 1-15 Which of the following best describes relationships among auditing, attest, and assurance services? a. Attest is a type of auditing service. b. Auditing and attest services represent two distinctly different types of services. c. Auditing is a type of assurance service. d. Assurance is...
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This note was uploaded on 12/08/2012 for the course ACCT 564 at Washington University in St. Louis.

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