Auditing and Assurance Services 9th Edition by Alvin Arens,Mark Beasley,Randy Elder

تمرين 13

Which of the following best describes the reason why an independent auditor is often retained to report on financial statements?
A) Management fraud may exist, and it is more likely to be detected by independent auditors than by internal auditors.
B) Different interests may exist between the entity preparing the statements and the persons using the statements, and thus outside assurance is needed to enhance the credibility of the statements.
C) A misstatement of account balances may exist, and all misstatements are generally corrected as a result of the independent auditor's work.
D) An entity may have a poorly designed internal control system.