Final answer:
Auditors must gather more reliable and persuasive evidence when the risk of material misstatement for an assertion is high. They accomplish this through enhanced audit procedures and critical evaluation of the evidence, ensuring it is relevant and credible to support their judgment.
Step-by-step explanation:
When the risk of material misstatement for an assertion is high, the auditors must gather more reliable and persuasive evidence. This means that they should increase the quantity and quality of the evidence collected to support the audit opinion. To do so, auditors will need to design more effective audit procedures, which may include using higher-quality evidence sources, more detailed testing, or both. The aim is to lower the risk to an acceptable level in order to provide a reasonable assurance that the financial statements as a whole are free from material misstatement, whether due to fraud or error.
Evaluating evidence carefully and critically is crucial in the audit process. Auditors should review evidence multiple times if necessary and should ensure they are not omitting any relevant points that could impact their judgment. Consensus among experts, the credibility of testimonies, and absence of bias are important factors to consider when evaluating the persuasiveness of evidence.