The impact of e-commerce on public accountants who perform audits of such entities is that:
A) audit firms now must have information technology experts as partners in audit firms.
B) auditors now need to be experts in e-commerce and information technology.
C) auditors now need a basic knowledge and understanding of e-commerce and information technology.
D) auditors must decline to accept the audit of such entities and leave non-audit organisations to perform these audits.

Question

Quizplus · Accepted Answer

With the increasing prevalence of e-commerce, auditors are now expected to have a basic understanding of the related technologies and processes. They need to be able to assess the risks associated with electronic transactions and ensure that appropriate controls are in place. However, they do not necessarily need to be experts in e-commerce and information technology. Audit firms may also need to hire IT experts, but they do not necessarily have to be partners. Option D is not a viable solution as it violates the independence requirement of auditors.

The Impact of E-Commerce on Public Accountants Who Perform Audits