An experienced audit team will begin planning the audit before it knows all the specific information about a particular client company because
A) experienced auditors know the general framework of what needs to be done on any audit.
B) auditors experienced in the client's industry understand the activities and risks of the industry, which gives them an understanding of the important financial statement accounts and ICFR areas.
C) auditors experienced with this client company have already gained quite a bit of information from the client acceptance or continuance processes.
D) all of the above

Question

Quizplus · Accepted Answer

Experienced auditors have a general framework that outlines the nature, timing, and extent of audit procedures. They also have an understanding of the risks and activities of the client's industry, which helps them identify the relevant accounts and areas of internal control. Additionally, if the audit team has worked with the client before, they would have gathered some information during the client acceptance or continuance processes, which they can use during the audit planning stage. Therefore, all of the above reasons justify why the audit team can start planning the audit before they have all the specific information about a particular client company.

An Experienced Audit Team Will Begin Planning the Audit Before