Which of these statements is true?
An audit benefits a company because
A) It reassures the shareholders that the accounts are accurate
B) Makes the management accountable to the shareholders
C) Guarantees that the accounts are free from fraud or error
D) Guarantees that the financial information shown is true and fair

Question

Quizplus · Accepted Answer

While an audit cannot guarantee that financial information is completely free of errors or fraud, it does provide a level of assurance to stakeholders that the information presented is accurate and fairly represented. Additionally, audits can help identify areas for improvement in a company's financial systems and processes, leading to better management and accountability in the long run.

Which of These Statements Is True