With respect to illegal acts, the auditor's responsibility is to:
A)uncover all illegal acts.
B)design the audit to provide reasonable assurance of detecting illegal acts that are material to the financial report.
C)plan the audit to search for illegal acts that could be material to the financial report.
D)rely on the client's solicitor to identify illegal acts that should be disclosed.

Question

Quizplus · Accepted Answer

The auditor's responsibility is not to uncover all illegal acts but rather to provide reasonable assurance of detecting illegal acts that are material to the financial report. Therefore, choice B is the best answer. Choice C is also partially correct but does not specify the need for materiality. Choice A is too broad and unrealistic, and choice D is not an appropriate course of action for the auditor.

With Respect to Illegal Acts, the Auditor's Responsibility Is To