Which of the following should NOT be included in the Audit Scope Statement?

The Audit Scope Statement is a crucial document that outlines the boundaries and focus of an audit, including what will be examined, the resources required, and the objectives to be achieved. When determining what should be included in this statement, it is essential to focus on elements that clearly define the audit's purpose and scope rather than financial considerations.

Including deliverables, classification, and reasons in the scope statement provides context and clarity about what is being audited. Deliverables specify what outputs are expected from the audit process, classification refers to the categorization of data or resources involved in the audit, and the reason outlines the rationale for conducting the audit, which supports stakeholders’ understanding and buy-in.

On the other hand, cost should not be included in the Audit Scope Statement. While budgetary considerations are important for planning and resource allocation, they do not directly pertain to the specific parameters or focus of the audit itself. Including cost could lead to confusion regarding the primary objectives of the audit, which should remain focused on the examination of processes, compliance, and risk management rather than on financial implications. Thus, focusing on key elements that define the audit's scope, such as deliverables, classification, and rationale, is fundamental for effective audit planning and execution.