ACCA AA · Chapter 9 · Question 1 of 10
Under ISA 500, what do the terms 'sufficient' and 'appropriate' refer to?
Test yourself: pick an answer
Reveal answer & explanation
Correct answer: C) Sufficient refers to the quantity of evidence; appropriate refers to its quality, being relevance and reliability
Explanation
Sufficiency is the measure of the quantity of evidence, which depends on the assessed risks and the quality of the evidence. Appropriateness is the measure of quality, made up of relevance and reliability. The two are interrelated: higher-quality evidence may mean less is needed, but more evidence cannot compensate for poor quality.
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