The reason auditors accumulate evidence is to
A)defend themselves in the event of a lawsuit.
B)justify the conclusions they have otherwise reached.
C)satisfy the requirements of the relevant provincial securities regulations.
D)enable them to reach conclusions about the fairness of the financial statements and issue an appropriate audit report.

Question

Quizplus · Accepted Answer

The main reason auditors accumulate evidence is to enable them to reach conclusions about the fairness of the financial statements and issue an appropriate audit report. The evidence provides a basis for the auditor's opinion on the financial statements, and helps to support or refute the assertions made by management. While defending against lawsuits or satisfying regulatory requirements may be secondary reasons for accumulating evidence, the primary purpose is to form an independent and objective opinion about the financial statements.

The Reason Auditors Accumulate Evidence Is to