Question 1

Auditors perform audit attestation to enhance the credibility of the financial statements. However, it is quite impossible for the auditors to provide an absolute assurance regarding the subject matter on which they express their opinion.

Required:

a) Comment on the auditor's ability and methods in attesting the credibility of financial statements prepared by the governing party of an organization.

b) Explain what type of assurance an auditor should provide in a financial statement audit.