Auditing Standard #5 requires:
A) auditors perform tests of internal control.
B) auditors have technical competence to perform audits.
C) auditors exercise professional skepticism.
D) Both b and c

Question

Quizplus · Accepted Answer

Auditing Standard #5 requires auditors to both perform tests of internal control, which requires technical competence, and exercise professional skepticism, which involves critically evaluating evidence and considering the possibility of fraud or error in financial statements. Therefore, choices B and C are correct. Choice A is partially correct, as performing tests of internal control is only one requirement of AS #5.

Auditing Standard #5 Requires