During the audit team planning meeting, a member of the audit team passed a comment

that based on past experience with the client, he was confident that the management of

the client was honest and there was no issue as regards management integrity or risk of

fraud in the Company. The audit manager responded that the auditor should always

maintain an attitude of professional scepticism throughout the audit.

Required:

Briefly describe 'Audit Scepticism' and elaborate on the response of the audit manager.