What Is the Meaning of the Term Audit Expectation Gap

question 57

Multiple Choice

What is the meaning of the term audit expectation gap?

• A) The difference between what the public and financial statement users believe auditors are responsible for, and what auditors themselves believe to be their responsibilities
• B) The difference between public expectations about the responsibilities and duties of the auditing profession and what the auditing profession actually provides
• C) The gap between the expectations of society about auditors and the performance of auditors
• D) All answers are correct

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Definitions:

Transduction

The process of converting one form of energy into another, such as converting light waves into neural signals by the sensory organs.

Absolute Threshold

The smallest intensity of a stimulus that can be detected by an organism's sensory systems 50% of the time.

Signal Detection

A theory that aims to quantify the ability to discern between information-bearing patterns and random patterns that distract from the information.

Absolute Threshold

The absolute threshold refers to the minimum intensity of a stimulus that one can detect 50% of the time.