ISA 200 (2)

Question 1

Objective when conducting an audit of financial statements (reasonable)

Answer 1

Reasonable assurance about whether financial statements as a whole are free from material misstatement

Question 2

What does this assurance allow an auditor to do?

Answer 2

Express an opinion on whether financial statements are prepared, in all material respects, in accordance with applicable financial reporting framework

Question 3

What is reported on in an audit?

Answer 3

The financial statements, and communicate as required by ISAs, in accordance with auditor’s findings

Question 4

What should the auditor do when conducting an audit?

Answer 4

Should plan and perform the audit with professional scepticism and apply professional judgement

Question 5

What is professional scepticism?

Answer 5

A questioning mind, being alert to conditions which may indicate possible misstatement due to fraud and error, and a critical assessment of audit evidence

Question 6

The auditor should be alert to (evidence)

Answer 6

Audit evidence that contradicts other audit evidence

Question 7

The auditor should be alert to (fraud)

Answer 7

Conditions that may indicate possible fraud

Question 8

The auditor should be alert to (reliability)

Answer 8

Information that brings into question the reliability of documents and responses to questions

Question 9

The auditor should be alert to (procedures)

Answer 9

Circumstances that suggest additional audit procedures are needed in addition to those per ISAs