A Classification of the Way in which an Auditor Involves with Relevance of Financial Information

The purpose of this paper is to present a framework for examining the quality of financial statements assured by auditing in terms of two qualitative characteristics of financial information that are defined in the conceptual frameworks for financial reporting-relevance and reliability-and to classify the way in which auditors are engaged in the judgments on relevance of financial information based on the phases in which the judgments are required and their nature. The classification of auditors\u27 judgments on relevance of financial information presented in this paper is useful for appropriately understanding auditors\u27 judgments the rationale for which has not been properly explained in prior research regarding the role of financial statement audits and the relationship between fair presentation or a true and fair view and compliance with accounting standards