Audit 1 Adaptive 02

An internal auditor is examining the effectiveness of procedures management established to protect customer data from cyberattacks and whether those procedures are cost effective.  This is an example of an operational audit.   Question options:   True   False

Auditors are important because they are able to provide assurance of an organization's financial statements from an objective and independent opinion. It benefits the company in several ways, such as maintaining consistency, finding errors in their processing, or detecting fraud. While performing work , the auditors may face situations when they will not be able to fulfill ethical requirements.    Which threat may occur when a professional accountant may be deterred from acting objectively by threats, actual or perceived? Intimidation threats Self-review threats Self-interest threats Advocacy threats

A moral or legal obligation to ensure the safety or well-being of others Could be defined as duty of care. An auditor's duty of care to a client would most likely be breached if the auditor failed to:  Select one: a.comply with the Cooperation Act 2001 & all relevant auditing standards.  b. Resolve their staffing issues. c. conduct the audit for the cheapest price. d.Prevent & detect earnings of management.