Audit and Assurance Practice Exam 2025 – Complete Prep Resource

ISA stands for International Standards on Auditing. These standards serve a crucial purpose in the auditing profession by providing a framework that ensures the consistency and quality of audits across different jurisdictions and organizations. The primary goal of these standards is to enhance the credibility and reliability of the financial statements that are audited, which in turn fosters trust among stakeholders such as investors, regulators, and the public.

By adhering to ISAs, auditors are required to follow a structured approach that includes planning the audit, conducting the necessary procedures to gather sufficient appropriate evidence, and evaluating that evidence to form a basis for their opinion. This structured approach helps to standardize audit practices globally, reducing variation and improving the overall quality of the audit process. This creates a common understanding of the requirements auditors must meet and sets a benchmark for professional conduct, thus maximizing the overall transparency and accountability in financial reporting.