IPA IP 2020 Question 48
A question IPA Japan published in 令和2年度 10月 ITパスポート試験 公開問題 問48, translated into English. ITPEC is based on the same exams.
Same question on ITPEC: Apr 2023 Q65 +1 more
When an external systems auditor conducts a systems audit of a company as an outsourcing service, which of the following is an appropriate action by the external systems auditor?
Explanation
Making audit judgements on the basis of sufficient and appropriate audit evidence — the auditor's conclusions must rest on evidence, not on the wishes of the audited company or on the fee.
System audit standards require the auditor to be independent in appearance and in fact, objective, professionally careful, and to keep confidential what the audit reveals. Every opinion and finding must be backed by audit evidence that is sufficient (enough of it) and appropriate (relevant and reliable), collected through audit procedures and recorded in the audit working papers.
Answer (d)
Why not others:
- •(a) — writing the report so that managers suffer no disadvantage gives up objectivity; the report states the facts whether or not they please the audited party
- •(b) — the auditor has a duty of confidentiality; information obtained in the audit is reported to the client, not disclosed to the public
- •(c) — a fee that grows with the number of findings gives the auditor a financial stake in the result, which damages independence and invites inflated findings
Key rule: An auditor's judgements are independent, objective and evidence-based: sufficient means enough evidence, appropriate means relevant and reliable evidence.
System Audit · AI-written, may contain errors
This question comes from the past questions IPA Japan publishes, translated into English by ITPEC Practice. ITPEC Practice is an independent study tool and is not affiliated with IPA or ITPEC. See the original paper (PDF) or Report an issue.