Which statement best describes the impact of independence on audit outcomes?

• A. It supports unbiased findings and credibility.
• B. It guarantees favorable results for management.
• C. It eliminates the need for an audit plan.
• D. It requires external auditors for independence.

Answer: (A)

Independence in auditing means the auditor can form judgments free from bias, pressure, or conflicts of interest. When independence is maintained, findings are based on evidence and professional judgment rather than any influence from management, which makes the results trustworthy to the board, management, and other stakeholders. This is why the statement that independence supports unbiased findings and credibility best describes its impact.

Independence does not guarantee favorable results for management; it ensures objectivity even if the conclusions are unfavorable. It also does not eliminate the need for an audit plan—planning remains essential to scope, risk assessment, and evidence gathering. And independence is not contingent on using external auditors; internal auditors can be independent as well, and independence is a quality of the auditor, not the source of auditing.