The purpose(s) of auditing is to ________.

• A. Develop opinions on the health of controls
• B. Find punishable instances of noncompliance
• C. Both A and B
• D. Neither A nor B

Answer: (A)

Auditing is about evaluating how well controls are designed and operating, so the auditor can form an opinion on their health and effectiveness. This assessment provides assurance to management and stakeholders that the controls are functioning as intended and helps identify deficiencies and opportunities for improvement. It isn’t about punishing people for violations; while an audit may uncover noncompliance, enforcing punishment is not the auditor’s role. When noncompliance is found, it’s usually reported to management or regulators, with recommendations for remediation. So the best choice is the one that emphasizes developing opinions on the health of controls.