Which of the Following Is True Statement Regarding Professional Skepticism

question 6

Multiple Choice

Which of the following is True statement regarding professional skepticism?

• A)Auditors reject most potential clients perceived as lacking honesty and integrity.
• B)If the auditor has past experience with a client,they can assume the client is honest.
• C)Material frauds occur in most of the audits of financial statements.
• D)Professional skepticism is required only during the planning phase.

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Definitions:

Brown Case

Also known as Brown v. Board of Education, a landmark 1954 U.S. Supreme Court decision that declared state laws establishing separate public schools for black and white students to be unconstitutional.

Supreme Court

The highest federal court in the United States, serving as the ultimate arbiter of legal and constitutional disputes.

Segregation

The mandatory division of various ethnic groups within a nation, community, or institution.

Jim Crow

Laws and practices in the United States that enforced racial segregation and discrimination against African Americans from the late 19th century into the 1960s.