Final answer:
The appropriateness of audit evidence obtained by the auditor is important in forming an audit opinion because it ensures the reliability and credibility of the financial statements being audited. The information should be relevant, reliable, and sufficient to support the auditor's conclusions and opinions.
Step-by-step explanation:
The appropriateness of audit evidence obtained by the auditor is important in forming an audit opinion because it ensures the reliability and credibility of the financial statements being audited. Audit evidence serves as the basis for the auditor's conclusions and opinions about the financial statements, and therefore, it must be relevant, reliable, and sufficient to support the conclusions drawn.
To be considered appropriate by the auditor, the information should possess certain qualities. Firstly, it should be relevant to the financial statements being audited and directly related to the assertions or assertions being tested. Secondly, the information should be reliable, which means it should be complete, accurate, and unbiased. Lastly, the information should be sufficient, meaning that there should be enough evidence to support the auditor's conclusions and opinions, taking into account the inherent risks and materiality of the financial statements.