The first phase in planning an audit and designing an audit approach is to
A) accept the client and perform initial audit planning.
B) set the preliminary judgment of materiality.
C) understand the client's business and industry.
D) perform preliminary audit procedures.

Question

Quizplus · Accepted Answer

Accepting the client and performing initial audit planning is the first phase in planning an audit and designing an audit approach. This step involves deciding whether to accept or continue serving a client and understanding the client's needs and the scope of the engagement.

The First Phase in Planning an Audit and Designing an Audit