Scaling the audit refers to
A) weighing the risks associated with the client's susceptibility to fraud.
B) preparing evidence for an outside service provider.
C) fitting the audit work to the specific characteristics of the client.
D) delivering products or services as contracted in the engagement letter.

Question

Quizplus · Accepted Answer

Scaling the audit means adapting the audit procedures to the size, complexity, and nature of the client's business, as well as to the assessed risk of material misstatement in the financial statements. Therefore, choice C is the correct answer. Choice A discusses a related concept but not specifically about scaling the audit. Choice B is incorrect because it is not a common reason for scaling the audit. Choice D is incorrect because it does not apply to scaling the audit.

Scaling the Audit Refers to