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Professional skepticism and professional judgment

AUD Chapter 3 · Area I · Blueprint I.B

This topic is tested at the remembering level, but it runs through every other AUD area. Later chapters ask you to evaluate evidence. You cannot do that well unless you know what a skeptical auditor looks like and which mental shortcuts get in the way.

In this chapter

1. Professional skepticism: trust, but check
2. When skepticism matters most
3. Skepticism in the standards: documents, fraud and due care
4. Professional judgment
5. Judgment traps: the common biases
6. Other things that weaken skepticism
7. How to protect judgment

This chapter has 7 lessons, 50 practice MCQs with explanations and 10 simulations, plus flashcards and a recall sheet.

What this chapter covers

• A questioning mind
• auditor biases such as anchoring and confirmation
• threats, incentives and judgment shortcuts

Chapter 2: Independence rules of the SEC, PCAOB, GAO and DOL · Chapter 4: Types of engagements: nature, scope and objectives