An auditor obtains knowledge about a new client’s business and its industry to:

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An auditor obtains knowledge about a new client’s business and its industry to:

Make constructive suggestions concerning improvements to the client’s internal control.

Develop an attitude of professional skepticism concerning management’s financial statement assertions.

Evaluate whether the aggregation of known misstatements causes the financial statements taken as a whole to be materially misstated.

Understand the events and transactions that may have an effect on the client’s financial statements.

Correct Answer

Understand the events and transactions that may have an effect on the client’s financial statements.

Explanation:

Understand the events and transactions that may have an effect on the client’s financial statements. is the answer for An auditor obtains knowledge about a new client’s business and its industry to:

Conclusion:

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