An example of the three parties in an assurance engagement would be:
A)audit client,supplier,auditor.
B)audit client,employee,customer.
C)auditor,general public,employees.
D)auditor,shareholder,general public.

Question

Quizplus · Accepted Answer

In an assurance engagement, the three parties typically involved are the auditor (who provides the assurance), the audit client (the entity whose information is being audited), and the intended users (who rely on the auditor's report). In choice A, "audit client, supplier, auditor," the audit client is the entity being audited, the auditor is the party providing the assurance, and the supplier can be seen as an intended user who relies on the audit report, making it the closest to the correct representation of the three parties in an assurance engagement.

An Example of the Three Parties in an Assurance Engagement