Question: a. Why is it sometimes difficult for auditors to exercise appropriate levels of professional skepticism in practice? b. What practices can individual auditors apply to

a. Why is it sometimes difficult for auditors to exercise appropriate levels of professional skepticism in practice?

b. What practices can individual auditors apply to help them to remember to be professionally skeptical?

c. Imagine that you are working on an audit engagement. What are the personal characteristics of management or other company employees that might make you skeptical about whether or not they are providing you accurate audit evidence? Aside from personal observations, what publicly available information about management or other company employees could you obtain to determine whether you should exercise heightened professional skepticism in your dealings with these individuals?

Step by Step Solution

★★★★★

3.55 Rating (169 Votes )

There are 3 Steps involved in it

1 Expert Approved Answer

Step: 1 Unlock

a It can be difficult to exercise professional skepticism in practice because we are taught from a y... View full answer

Question Has Been Solved by an Expert!

Get step-by-step solutions from verified subject matter experts

Step: 2 Unlock

Step: 3 Unlock

Document Format (1 attachment)

1135-B-A-A-A-B-R(1917).docx

120 KBs Word File

Students Have Also Explored These Related Auditing Questions!

Refer to the Auditing in Practice feature, "Professional Skepticism." a. What is professional skepticism? b. Why is professional skepticism necessary to detecting fraud? c. What are the key behaviors...

Why is it sometimes difficult for a retailer to convey its image to consumers? Give an example of a restaurant with a fuzzy image.

Refer to the Focus on Fraud feature "The Crucial Role of Professional Skepticism." a. What is professional skepticism? b. Why is professional skepticism helpful for detecting fraud? c. What are the...

Defendants orchestrated a fraudulent scheme to form and sell publicly-traded shell companies while concealing Defendants' control of the companies and the companies' lack of any actual or intended...

I need the multiple choice questions answers from chapter 4 and 5 of the attached & Monograph...

I have attached two articles that needs to read and reviewed and then...

Pick a case and become familiar with the case requirements. Use what you learned on chapter 19. For formatting, use times new roman 12 pt font and double space your answers. You must include...

Hi, I need someone to do summary for the article I upload AUDITING: A JOURNAL OF PRACTICE & THEORY Vol. 28, No. 2 November 2009 pp. 1-34 American Accounting Association DOI: 10.2308 / aud.2009.28.2.1...

Need help with these multiple choice questions for internal audit final exam. Due in 2 hours. QUESTION 1 RsQ_004Without management direction and assumption of responsibility, it would be...

***READ THIS FIRST*** I need the questions for Part 1 AND Part 2 answered for this case study. The answers must be well-written, detailed, and must answer each question fully with examples from the...

Consider the following chemical reaction: 2H2O(1) > 2H2(g) | O2(g). What mass of H2O is required to form 1.5 L of O2 at a temperature of 325 K and a pressure of 0.970 atm ? Express your answer using...

Two reversible engines A and B are arranged in series with the waste heat of engine A used to drive engine B. Engine A receives 200 MJ from a hot source at a temperature of 420oC. Engine B is in...

4 - 1 MyFinanceLab Assignment Question 8 , P 9 - 1 4 ( similarto ) HW Score: 3 3 . 0 6 % , 1 6 . 5 3 of 5 0 points ( Related to Checkpoint 9 . 2 ) ( Yield to maturity ) Abner Corporation's bonds...

One of the negative by-products of the corporate ethics movement is a decrease in employee privacy. In order to ensure ethical compliance in the workplace, employers will feel pressure to monitor...

Refer to the Professional Judgment in Context feature at the outset of the chapter, which features the litigation charges against KPMG for its audit failures during the subprime mortgage crisis. a....

Thomas Flanagan was an audit partner and key member of management (Vice Chairman) at Deloitte LLP, based out of the firm's Chicago office. During the latter part of his career, he managed a large...

Locate and read the article listed below and answer the following questions. Rennie, M. D., L. S. Kopp, and W. M. Lemon. 2010. Exploring Trust and the Auditor-Client Relationship: Factors Influencing...

In a certain town up in the mountains there are no bears at time t = 0. Brown bears and grizzly bears arrive according to two independent Poisson processes with respective arrival rates and . (a)...

Tiga sistem injeksi bahan bakar diuji efisiensinya dan diperoleh data sebagai berikut: Sistem 1 Sistem 2 Sistem 3 48 60 57 56 56 55 46 53 52 45 60 50 50 51 21 pasangan sistem injeksi mana yang...

Exodus Limousine Company has $1,000 par value bonds outstanding at 10 percent interest. The bonds will mature in 50 years. Use Appendix B and AppendixD for an approximate answer but calculate your...