Ethics, Responsibilities, and Planning Practice Question

Question

A learner is comparing two similar concepts for the CPA AUD Auditing and Attestation involving independence in Ethics, Responsibilities, and Planning. What should the candidate understand? (Item 201)

Answer choices

1. A. The best answer is to select the audit response that best supports sufficient appropriate evidence, professional skepticism, and proper reporting for the independence scenario.
2. B. Skip verification because the previous case had the same answer.
3. C. Document nothing because documentation could create follow-up questions.
4. D. Rely on informal custom instead of the applicable rule, control, or standard.

Correct Answer

A. The best answer is to select the audit response that best supports sufficient appropriate evidence, professional skepticism, and proper reporting for the independence scenario.

Explanation

The correct answer is A because independence is tested by asking candidates to select the audit response that best supports sufficient appropriate evidence, professional skepticism, and proper reporting. The distractors reflect common exam mistakes: ignoring context, using informal shortcuts, skipping verification, or applying a rule from the wrong domain.

Question details

• Difficulty: easy
• Domain: Ethics, Responsibilities, and Planning
• Objective: independence

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