The purpose of an audit strategy is:
A)to provide a defense against litigation.
B)to gain an understanding of the client.
C)to comply with securities law.
D)to set the scope, timing, and direction for auditing each relevant assertion.

Question

Quizplus · Accepted Answer

An audit strategy is used to set the scope, timing, and direction of the audit for each relevant assertion. It helps auditors to identify the risks, plan the audit procedures, and allocate resources efficiently. The other options (A, B, and C) are not the primary purpose of an audit strategy.

The Purpose of an Audit Strategy Is