The expectation gap is the difference between what the general public believes the auditor's responsibilities and...

 

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The expectation gap is the difference between what the general public believes the auditor's responsibilities and function to be and the auditor's actual responsibilities. Which TWO of the following beliefs are examples of the expectations gap? 1. Auditors test all transactions and balances. 2. An audit gives reasonable assurance that the financial statements are free from material misstatement. 3. Auditors are responsible for the detection of fraud (100 percent). 4. An External Audit is an example of giving Assurance a. 1 and 3 O b. 2 and 3 O c. O d. 1 and 2 1 and 4 The expectation gap is the difference between what the general public believes the auditor's responsibilities and function to be and the auditor's actual responsibilities. Which TWO of the following beliefs are examples of the expectations gap? 1. Auditors test all transactions and balances. 2. An audit gives reasonable assurance that the financial statements are free from material misstatement. 3. Auditors are responsible for the detection of fraud (100 percent). 4. An External Audit is an example of giving Assurance a. 1 and 3 O b. 2 and 3 O c. O d. 1 and 2 1 and 4

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c 1 and 2 Explanation The expectation gap is the difference between wha... View the full answer