CA Prince, after developing the audit strategy for Vedika Limited, develops an audit plan but finds a need to revise the materiality levels set…

CA Intermediate · Auditing and Ethics · MTP · September 2024
CA Prince, after developing the audit strategy for Vedika Limited, develops an audit plan but finds a need to revise the materiality levels set earlier and therefore, a deviation from the already set audit strategy is felt necessary. In this case, he should
(A) (A) Drop the audit and withdraw from the engagement.
(B) (B) Devise a new audit plan and then, change the strategy as per the Revised Plan.
(C) (C) First Modify the audit strategy and thereafter, prepare the audit plan according to the modified strategy.
(D) (D) Continue with the Audit Plan without considering the Audit Strategy.

Suggested Answer and Working Notes:

Correct Answer: Option (C)

(C) First Modify the audit strategy and thereafter, prepare the audit plan according to the modified strategy.

Topics: Audit Strategy, Audit Planning and Audit Programme

Open in Interactive Practice Hub · Full Practice Hub · Chapter Weightage · More in this subject

Related Questions in this Topic