Question: 4. An audit program is designed to generate appropriate evidence on which the auditor can base an opinion. How does the auditor know when sufficient

4. An audit program is designed to generate appropriate evidence on which the auditor can base an opinion. How does the auditor know when sufficient evidence has been accumulated? 5. What is the quality of the evidence that is gathered by analytical procedures? More specifically, how competent is evidence provided by analytical procedures compared with other types of evidence? 6. In performing analytical procedures, how extensive should an auditors knowledge of a clients industry be and how does the auditor go about getting this type of information? 7. Assume that price competition with other CPA firms was an important factor in securing this audit engagement. What are the potential problems for a CPA firm that can arise from acquiring clients through price competition?

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