For what type of audit are the objectives predetermined and not defined by the audit organization, generally to attest to the reliability of information prepared by the audited organization?

For what type of audit are the objectives predetermined and not defined by the audit organization, generally to attest to the reliability of information prepared by the audited organization?

• A. Financial Audits
• B. Attestation Audits
• C. Performance Audits
• D. Compliance Audits

Answer: (A)

In attestation engagements, the objectives are set by the party requesting the assurance—not by the auditor. The goal is to attest to the reliability of information that the audited organization has prepared, using criteria that come from the user (or the relevant standards for that subject matter). This fits the given scenario, where the purpose is to provide assurance about the information prepared by the organization being audited. Financial audits, by contrast, focus on expressing an opinion about whether the financial statements present fairly, in accordance with applicable accounting standards. The objectives are defined by those standards and the nature of financial statements, not exclusively by the client’s own request. Attestation engagements specifically address the reliability of information or other subject matters as defined by the user, making them the best fit for this description.

In attestation engagements, the objectives are set by the party requesting the assurance—not by the auditor. The goal is to attest to the reliability of information that the audited organization has prepared, using criteria that come from the user (or the relevant standards for that subject matter). This fits the given scenario, where the purpose is to provide assurance about the information prepared by the organization being audited.

Financial audits, by contrast, focus on expressing an opinion about whether the financial statements present fairly, in accordance with applicable accounting standards. The objectives are defined by those standards and the nature of financial statements, not exclusively by the client’s own request. Attestation engagements specifically address the reliability of information or other subject matters as defined by the user, making them the best fit for this description.