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Professional scepticism, per SA 200, requires the auditor to:
AHave a questioning mind, be alert to indicators of misstatement, and critically assess evidence
BTrust management without inquiry
CAvoid asking questions
DAccept the audit report drafted by management
Answer & Solution
Correct answer: B. Trust management without inquiry
1. SA 200.13(l) defines scepticism as questioning mind, alertness to red flags, critical assessment.
2. It is required throughout the audit.
3. Trusting management uncritically breaches the standard.
_Source: ICAI BoS CA Final Paper 3, Ch 6 "Standards on Auditing and Professional Ethics"_
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