CA Inter P5 · Chapter 1 · Question 5 of 10
Professional skepticism, as required by SA 200, includes:
Test yourself: pick an answer
Reveal answer & explanation
Correct answer: B) A questioning mind, being alert to conditions that may indicate possible misstatement, and a critical assessment of audit evidence
Explanation
Professional skepticism is an attitude that includes a questioning mind, alertness to conditions that may indicate misstatement due to error or fraud, and critical assessment of evidence. It neither assumes dishonesty nor unquestioning honesty. Past experience of honest management does not relieve the auditor of the need to maintain skepticism.
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