Why is auditing important in a free market society?
A)The public requires auditors to function as divisions of regulatory bodies.
B)Auditors detect all errors and fraud perpetrated by company employees.
C)Audits provide reliable information upon which to judge economic performance.
D)The auditor is a form of insurance policy for investors.

Question

Quizplus · Accepted Answer

Audits are crucial in a free market society because they offer reliable information that stakeholders can use to assess the economic performance of entities. This transparency and accountability help in making informed decisions.

Why Is Auditing Important in a Free Market Society