Answer Happy

International Standard on Auditing 200 states that “independence
enhances the auditor’s ability to act with integrity, to be
objective and to maintain an attitude of professional skepticism”.
Professional Skepticism is important because without it auditors
are susceptible to accepting weak or inaccurate audit evidence.
Required a) Discuss the concept of professional skepticism and its
importance in audit. b) Why is it sometimes difficult for auditors
to exercise appropriate levels of professional skepticism in
practice? ii. A company has been making losses on its operations
due to many factors such as competition, impairment of some of its
non-current assets and losses incurred on derivatives in its
hedging activities as well as problems of complying with many laws
and regulations governing its operations. Required As the audit
manager in charge of the audit of this company, evaluate the areas
in the audit of your client where the audit team members need to
exercise a high level of professional skepticism