The public has turned to auditors to provide assurance services primarily because:
A)there is a need to develop new revenue streams for accounting firms.
B)the integrity and objectivity of auditors increases the public's trust that the underlying information is not materially misstated.
C)auditors have been proactive in identifying new types of assurance services to market to customers.
D)audits do not provide reliable information for decision makers.

Question

Quizplus · Accepted Answer

The public turns to auditors to provide assurance services because auditors' integrity and objectivity increase the public's trust that the underlying information is not materially misstated. The other answer choices are not accurate; accounting firms may develop new revenue streams by offering other services, but that is not the primary reason the public seeks assurance services. Auditors may identify new types of assurance services to market, but that is not why the public turns to them. Lastly, audits do provide reliable information for decision makers, but they are not the only type of assurance service and not the primary reason the public seeks assurance services.

The Public Has Turned to Auditors to Provide Assurance Services