Question

Match five of the terms (a-h) with the definitions provided below (1-5):

a. Audit documentation
b. Audit procedures
c. Audit objectives
d. Analytical procedures
e. Budgets
f. Reliability of evidence
g. Sufficiency of evidence
h. Persuasiveness of evidence

1. Use of comparisons and relationships to assess the reasonableness of account balances.
2. Detailed instructions for the collection of a type of audit evidence.
3. The degree to which evidence can be considered believable or trustworthy.
4. Contains all the information that the auditor considers necessary to conduct an adequate audit and to provide support for the audit report.
5. This is determined by the amount of evidence obtained.

Answer 1

The terms 'analytical procedures', 'audit procedures', 'reliability of evidence', 'audit documentation', and 'sufficiency of evidence' are matched with their corresponding definitions regarding their roles in the auditing process. These components are crucial in ensuring a credible and well-supported audit.

Step-by-step explanation:

To match the audit terms with their respective definitions, we should look at the meaning of each term in the context of the auditing process:

• d. Analytical procedures match with definition 1: Use of comparisons and relationships to assess the reasonableness of account balances.
• b. Audit procedures match with definition 2: Detailed instructions for the collection of a type of audit evidence.
• f. Reliability of evidence matches with definition 3: The degree to which evidence can be considered believable or trustworthy.
• a. Audit documentation matches with definition 4: Contains all the information that the auditor considers necessary to conduct an adequate audit and to provide support for the audit report.
• g. Sufficiency of evidence matches with definition 5: This is determined by the amount of evidence obtained.

Gathering enough quality evidence is fundamental in performing a comprehensive and credible audit. The reliability, sufficiency, and persuasiveness of evidence determine its efficiency to support the auditor's judgment. Using various audit procedures and analytical procedures can help in achieving the audit objectives.