Question

The reliability of evidence refers to the degree to which evidence is considered believable or trustworthy. There are six factors that affect the reliability of audit evidence. One factor is the independence

of the provider (evidence obtained from a source outside the client company is more reliable than that obtained within).
Identify and discuss the remaining five factors that affect the reliability of evidence.

Answer 1

The reliability of evidence in auditing is influenced by six factors, including independence, relevance, competence, objectivity, timeliness, and consistency.

Step-by-step explanation:

The reliability of evidence in auditing refers to the level of trustworthiness or believability of the evidence gathered. Apart from the independence of the provider, there are five other factors that affect the reliability of audit evidence: relevance, competence, objectivity, timeliness, and consistency.

1. Relevance: The evidence must be directly related to the audit objective and help in forming a conclusion.
2. Competence: The person providing the evidence should have the necessary knowledge and skills to do so.
3. Objectivity: The evidence should be unbiased and free from any personal or financial interests.
4. Timeliness: The evidence should be obtained within a reasonable period, ensuring it is current and accurate.
5. Consistency: The evidence should be consistent with other available evidence and not contradictory.

Learn more about reliability of evidence