A typical objective of a performance audit is for the auditor to:
A)determine whether the financial report presents the entity's operations fairly.
B)evaluate the feasibility of attaining the entity's operational objectives.
C)make recommendations for improving efficiency, effectiveness and economy.
D)report on the entity's relative success in attaining profit maximisation.

Question

Quizplus · Accepted Answer

The objective of a performance audit is to evaluate whether an entity is operating efficiently, effectively and economically. The auditor's role is to identify areas of improvement and make recommendations for changes to enhance the organization's performance. Therefore, option C, which states that the auditor's objective is to make recommendations for improving efficiency, effectiveness, and economy, is the best choice.

A Typical Objective of a Performance Audit Is for the Auditor