Which of the following statements is generally correct about the appropriateness of audit evidence?
A)The more effective the internal control, the more assurance it provides about the reliability of the accounting data and financial statements.
B)Appropriateness of audit evidence refers to the amount of corroborative evidence obtained.
C)Information obtained indirectly from independent outside sources is more persuasive than the auditor's direct personal knowledge obtained through observation and inspection.
D)Appropriateness of audit evidence refers only to audit evidence obtained from outside the entity.

Question

Quizplus · Accepted Answer

A is generally correct as stronger internal controls provide more assurance about the reliability of financial information, leading to more appropriate audit evidence. B is incorrect as the appropriateness of audit evidence refers to its quality and relevance, not the amount obtained. C is incorrect as information obtained directly from the entity is generally more reliable and persuasive than information from outside sources. D is incorrect as appropriateness of audit evidence refers to all audit evidence, regardless of its source.

Which of the Following Statements Is Generally Correct About the Appropriateness