When auditing accounting data, auditors focus on
A) determining whether recorded information properly reflects the economic events that occurred during the accounting period.
B) determining if fraud has occurred.
C) determining if taxable income has been calculated correctly.
D) analyzing the financial information to be sure that it complies with government requirements.

Question

Quizplus · Accepted Answer

Auditors focus on determining whether recorded information properly reflects the economic events that occurred during the accounting period. While they may also look for signs of fraud and ensure compliance with government requirements, their primary focus is on the accuracy and completeness of financial statements. Taxable income calculations are usually the responsibility of tax accountants or advisors, not auditors.

When Auditing Accounting Data, Auditors Focus on