The standard unmodified audit report in the auditor responsibility section states that the audit is designed to
A)discover all errors and/or irregularities.
B)discover material errors and/or irregularities.
C)obtain reasonable assurance that the statements are free of material misstatement.
D)conform to a generally accepted financial reporting framework.

Question

Quizplus · Accepted Answer

The standard unmodified audit report in the auditor responsibility section states that the audit is designed to obtain reasonable assurance that the financial statements are free of material misstatement. Therefore, option C is the best choice. Options A and B are incorrect because even after conducting a thorough audit, it is not always possible for auditors to discover all errors and irregularities, but the focus is on identifying those that are material. Option D is incorrect because the auditor's responsibility is to ensure that the financial statements conform to a recognized financial reporting framework, not the auditor's audit report.

The Standard Unmodified Audit Report in the Auditor Responsibility Section