1 Examine the role of audit in society 2 Explain the importa

1. Examine the role of audit in society? 2. Explain the importance of auditing in reducing information risk. 3. Identify the primary types of auditors. 4. Select the conditions required to issue the standard unmodified opinion audit report. 5. Explain how materiality affects audit reporting decisions. 6. Analyze the importance of ethical conduct for the accounting Profession 7. Determine the appropriate audit report for a given audit situation

Solution

Answer 1

Audit is an examination of financial statements of entity, whether profit making or not irrespective of its size and legal structure when such an examination is conducted with a view to express an opinion thereon. Nowadays, with more complex business environment, the importance of professional audit increases. People want to be assured that financial statements give true and fair view.