An auditor need not abide by a particular auditing standard if the auditor believes that
A) the issue in question is immaterial in amount.
B) more expertise is needed to fulfill the requirement.
C) the requirement of the standard has not been addressed by the PCAOB.
D) fraud is involved.

Question

Quizplus · Accepted Answer

An auditor may decide not to follow a particular auditing standard if the issue in question is considered immaterial in amount. This is because the cost and effort of adhering to the standard may not be justified by the potential impact on the financial statements.

An Auditor Need Not Abide by a Particular Auditing Standard