Which of the statements is true with regards the basic principles and essential procedures contained in the auditing standards?
A) The auditor may depart from basic principles in order to achieve a more efficient audit.
B) There should be no departure from basic principles and essential procedures.
C) There should be no departure from basic principles and essential procedures should be undertaken
In all except the rare circumstances where it is determined that the audit objective can be achieved
More effectively with alternative procedures.
D) There should be no departure from essential procedures and basic principles should be adhered to in all but the rare circumstances where they hinder audit efficiency.

Question

Quizplus · Accepted Answer

The auditing standards require adherence to basic principles and essential procedures in all but rare circumstances where it is determined that the audit objective can be achieved more effectively with alternative procedures. Therefore, option B and D are not true as they either suggest no departure from basic principles or no departure from essential procedures respectively, without considering the possibility of using alternative procedures in rare cases. Option A is incorrect as the auditor cannot depart from basic principles to achieve a more efficient audit if that results in a lack of compliance with essential procedures.

Which of the Statements Is True with Regards the Basic