Professional Scepticism

• Explain how professional scepticism underpins high quality audit practice and ethical behaviour
• Understand how professional scepticism and judgement impact accountants and auditors
• Evaluate the different types of irregularities that an accountant might have to deal with
• Use judgement to identify fraud, money laundering, and financial irregularity
• Understand how to use the ISA regulatory requirements for quality control, compliance, and bias management

Professional scepticism is no longer just encouraged - it is expected. Regulators including the IAASB and FRC repeatedly highlight scepticism and judgement as areas where audits fall short, and high-profile corporate failures have shown the consequences when management is not challenged robustly. In an environment of principles-based standards, fair value estimates, and increased regulatory scrutiny, accountants and auditors must be able to demonstrate, not just assume, that they have applied a questioning mindset.

This course explores the meaning of professional scepticism and how it differs from professional judgement, drawing on regulatory guidance and real-world examples. You’ll examine how scepticism underpins audit quality and ethical behaviour, how to develop and evidence a sceptical mindset, and how judgement is applied in areas such as non-financial assets, financial instruments, impairment, and going concern. The course also addresses the role of scepticism in identifying and responding to fraud, money laundering, and other financial irregularities.

You’ll come away with a clearer understanding of what regulators expect and how to embed scepticism into everyday decision-making. This course will give you practical tools to challenge effectively, document appropriately, and justify your conclusions with confidence. Strengthen your ability to exercise judgement under pressure and protect both audit quality and your professional standing.