The audit has value because an audit provides reasonable assurance to financial statement users that the financial statements are free of material misstatements.

Question

Quizplus · Accepted Answer

An audit is valuable because it offers reasonable assurance to users of financial statements, such as investors and creditors, that the financial statements are free from material misstatements, whether due to fraud or error, enhancing the reliability of the financial statements for making economic decisions.

The Audit Has Value Because an Audit Provides Reasonable Assurance