The audit plan includes the nature,timing,and extent of audit procedures for the purposes of risk assessment,including those that are linked to the individual audit assertions,as well as any other audit procedures that are considered necessary.At what point in the audit process is the audit plan finalized?
A)When the auditor has finished documenting internal controls.
B)When the client risk profile has been completed.
C)When risk assessments are complete.
D)When inherent risk information has been gathered.

Question

Quizplus · Accepted Answer

The audit plan is finalized when risk assessments are complete. This is because the nature, timing, and extent of audit procedures are determined based on the identified risks, which are determined during the risk assessment phase. The other options (A, B, and D) are all important steps in the audit process, but they do not necessarily indicate the finalization of the audit plan.

The Audit Plan Includes the Nature,timing,and Extent of Audit Procedures