CHAPTER FOUR

AUDIT RESPONSIBILITY, OBJECTIVES, AND EVIDENCE

Objectives of the chapter

After studying this chapter, you should be able to:

❖ Understand objectives of conducting audit of financial statement

❖ Differentiate management’s responsibility and auditor’s responsibility in audit
engagement
❖ Define audit evidence
❖ Explain Sufficient Appropriate Audit Evidence
❖ Identify characteristics of competent audit evidence
❖ Explain auditors’ assertion of audit evidence
❖ Explain procedures of obtaining audit evidence
❖ Identify different types of audit evidence

Introduction

Auditing is a systematic process of objectively obtaining and evaluating evidence regarding

assertions about economic actions and events. “The auditor shall design and perform audit
procedures that are appropriate in the circumstances for the purpose of obtaining sufficient
appropriate audit evidence.

Before auditor can start the audit, he/she must determine what kind of evidence we are
looking for: particularly what kind of evidence would satisfy an auditor and what kinds
would not. The auditor should obtain sufficient appropriate audit evidence to be able to draw
reasonable conclusions on which to base the audit opinion. Evidence is anything that can
make a person believes that a fact, proposition, or assertion is true or false.

4.1. Objective of Conducting an Audit of Financial Statements

Auditing standards indicate:

The objective of the ordinary(purpose) audit of financial statements is the expression of an

opinion on the fairness with which they present fairly, in all respects, financial position,
result of operations, and its cash flows in conformity with GAAP.

Steps to Develop Audit Objectives

Understand objectives and responsibilities for the audit.
Divide financial statements into cycles.
Know management assertions about accounts

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 Know general audit objectives for classes of transactions and accounts.
Know specific audit objectives for classes of transactions and accounts.

4.2. Management’s Responsibilities

❖ Distinguish management’s responsibility for the financial statements and internal
control from the auditor’s responsibility for verifying the financial statements and
effectiveness of internal control.
❖ The responsibility for adopting sound accounting policies, maintaining adequate
internal control, and making fair representations in the financial statements rests
with management rather than with the auditor.
✓ Because they operate the business daily, a company’s management knows more
about the company’s transactions and related assets, liabilities, and equity than
the auditor.
✓ In contrast, the auditor’s knowledge of these matters and internal control is
limited to that acquired during the audit.
✓ Management is responsible for the financial statements and for internal control.

4.3. Auditor’s Responsibilities

The overall objectives of the auditor are:
A. To obtain reasonable assurance about whether the financial statements as a whole
are free from material misstatement, whether due to fraud or error, thereby enabling
the auditor to express an opinion whether the financial statements are prepared, in all
material respects, in accordance with an applicable financial reporting framework; and
B. To report on the financial statements, and communicate as required by auditing
standards, in accordance with the auditor’s findings.

❖ Material versus immaterial misstatements

– Misstatements are usually considered material if the combined uncorrected errors and
fraud in the financial statements would likely have changed or influenced the decisions
of a reasonable person using the statements.

– Although it is difficult to quantify a measure of materiality, auditors are responsible for

obtaining reasonable assurance that this materiality threshold has been satisfied.

– It would be extremely costly (and probably impossible) for auditors to have

responsibility for finding all immaterial errors and fraud.

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 Reasonable assurance
➢ Assurance is a measure of the level of certainty that the auditor has obtained at the
completion of the audit.
➢ Auditing standards indicate reasonable assurance is a high, but not absolute, level
of assurance that the financial statements are free of material misstatements.
➢ The concept of reasonable, but not absolute, assurance indicates that the auditor is
not an insurer or guarantor of the correctness of the financial statements. Thus, an
audit that is conducted in accordance with auditing standards may fail to detect a
material misstatement.
The auditor is responsible for reasonable, but not absolute, assurance for several
reasons:
✓ Most audit evidence results from testing a sample of a population such as accounts
receivable or inventory.
✓ Accounting presentations contain complex estimates, which inherently involve
uncertainty and can be affected by future events. As a result, the auditor has to rely on
evidence that is persuasive, but not convincing.
✓ Fraudulently prepared financial statements are often extremely difficult, if not
impossible, for the auditor to detect, especially when there is collusion among
management...

Errors versus fraud

Auditing standards distinguish between two types of misstatements: Errors and fraud.
Either type of misstatement can be material or immaterial.
➢ An error is an unintentional misstatement of the financial statements.
Examples of errors are a mistake in extending price times quantity on a sales invoice and
overlooking older raw materials in determining the lower of cost or market for inventory.
➢ fraud is intentional misstatement of the financial statements. For fraud, there is a
distinction between misappropriation of assets, often called defalcation or employee
fraud, and fraudulent financial reporting, often called management fraud.
Example of fraud or misappropriation of assets is a clerk taking cash at the time a sale is
made and not entering the sale in the cash register. An example of fraudulent financial
reporting is the intentional overstatement of sales near the balance sheet date to increase
reported earnings.

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 Professional skepticism/the practice/

➢ Auditing standards require that an audit be designed to provide reasonable assurance of

detecting both material errors and fraud in the financial statements.
➢ To accomplish this, the audit must be planned and performed with an attitude of
professional skepticism( inquery all doubt) in all aspects of the engagement.
➢ Professional skepticism is an attitude that includes a questioning mind and a critical
assessment of audit evidence.
➢ Auditors should not assume that management is dishonest, but the possibility of
dishonesty must be considered. At the same time, auditors also should not assume that
management is unquestionably honest.

❖ Fraud resulting from fraudulent financial reporting versus misappropriation of

assets
➢ Fraudulent financial reporting- harms users by providing them incorrect financial
statement information for their decision making.
➢ When assets are misappropriated; stockholders, creditors, and others are harmed
because assets are no longer available to their rightful owners.

4.4. Auditor’s Responsibilities for Discovering Illegal Acts

➢ Illegal acts are defined as violations of laws or government regulations other than fraud.
Two examples of illegal acts are a violation of federal tax laws and a violation of the federal
environmental protection laws.

Direct-effect illegal acts

Certain violations of laws and regulations have a direct financial effect on specific
account balances in the financial statements.
For example, a violation of federal tax laws directly affects income tax expense and income
taxes payable.

Indirect-effect illegal acts

• Most illegal acts affect the financial statements only indirectly.
For example, if the company violates environmental protection laws, financial statements are
affected only if there is a fine or sanction.
• Potential material fines and sanctions indirectly affect financial statements by
creating the need to disclose a contingent liability for the potential amount that
might ultimately be paid. This is called an indirect-effect illegal act.

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Auditors have three levels of responsibility for finding & reporting illegal
acts:
1. Evidence Accumulation When There Is No Reason to Believe Indirect-Effect
Illegal Acts Exist:
Many audit procedures normally performed on audits to search for errors and fraud may also
uncover illegal acts. Examples include reading the minutes of the board of directors and
inquiring of the client’s attorneys about litigation.
2. Evidence Accumulation and Other Actions When There Is Reason to Believe:

Direct- or Indirect-Effect Illegal Acts May Exist:

The auditor may find indications of possible illegal acts in a variety of ways.
For example, the minutes may indicate that an investigation by a government agency is in
process or the auditor may have identified unusually large payments to consultants or
government officials.

When auditor believes that an illegal act may have occurred, several actions are
necessary to determine whether the suspected illegal act actually exists:
➢ The auditor should first inquire of management at a level above those likely to be
involved in the potential illegal act.
➢ The auditor should consult with the client’s legal counsel or other specialist who is
knowledgeable about the potential illegal act.
➢ The auditor should consider accumulating additional evidence to determine whether
there actually is an illegal act.

3. Actions When the Auditor Knows of an Illegal Act:

➢ The first course of action when an illegal act has been identified is to consider the effects
on the financial statements, including the adequacy of disclosures. These effects may
be complex and difficult to resolve.
For example, a violation of civil rights laws could involve significant fines, but it could also
result in the loss of customers or key employees, which could materially affect future
revenues and expenses.
➢ If the auditor concludes that the disclosures relative to an illegal act are inadequate, the
auditor should modify the audit report accordingly.

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4.5. Financial Statement Cycles
▪ Audits are performed by dividing the financial statements into smaller segments or
components.
▪ The division makes the audit more manageable and aids in the assignment of tasks to
different members of the audit team.
For example, most auditors treat fixed assets and notes payable as different segments. Each
segment is audited separately but not on a completely independent basis.

There are different ways of segmenting an audit.

1. One approach is to treat every account balance on the statements as a separate
segment. Segmenting that way is usually inefficient. It would result in the
independent audit of such closely related accounts as inventory and cost of goods
sold.
2. A common way to divide an audit is to keep closely related types (or classes) of
transactions and account balances in the same segment. This is called the cycle
approach.

Transaction flow from journal to financial statements

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 4.6. Setting Audit Objectives
❑ Setting audit objectives describe, why the auditor obtains combination of assurance by
auditing classes of transactions and ending balances in accounts, including presentation
and disclosure.
❑ Auditors conduct financial statement audits using the cycle approach by performing audit
tests of the transactions making up ending balances & performing audit tests of the
account balances & related disclosures.
❑ For any given class of transactions, several audit objectives must be met before the
auditor can conclude that the transactions are properly recorded. These are called
transaction-related audit objectives
❑ Similarly, several audit objectives must be met for each account balance. These are called
balance-related audit objectives.

4.7. Management Assertions

❑ Management assertions are implied or expressed representations by management about
classes of transactions and the related accounts and disclosures in the financial
statements.
❑ Management assertions are directly related to the financial reporting framework used
by the company (usually U.S. GAAP or IFRS), as they are part of the criteria that
management uses to record and disclose accounting information in financial statements.
❑ International auditing standards and U.S. GAAS classify assertions into three
categories:
✓ Assertions about classes of transactions and events for the period under audit
✓ Assertions about account balances at period end
✓ Assertions about presentation and disclosure
❑ The specific assertions included in each category are included in the following table.
The assertions are grouped so that assertions related across categories of assertions are
included on the same table row.

4.8. Transaction-related Audit Objectives

❑ Transaction-related Audit Objectives Link the six general transaction- related audit
objectives to management assertions for classes of transaction.
❑ The auditor’s transaction-related audit objectives follow and are closely related to
management’s assertions about classes of transactions.
❑ There is a difference between general transaction-related audit objectives and specific
transaction-related audit objectives for each class of transactions.
❑ The six general transaction-related audit objectives discussed here are applicable to
every class of transactions and are stated in broad terms.

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❑ Specific transaction-related audit objectives are also applied to each class of
transactions but are stated in terms tailored to a specific class of transactions, such
as sales transactions.
❑ Once the auditor establishes general transaction-related audit objectives, they can be
used to develop specific transaction-related audit objectives for each class of
transactions being audited.

1. General Transactions-related Audit Objectives

Occurrence Record transaction exists

Completeness Existing transactions are recorded

Accuracy Recorded transactions are stated at correct amount

Posting and Transactions are included in the master files

Summarization and are correctly summarized

Classification Transactions are properly classified

Timing Transactions are recorded on the correct date

4.9. Balance-related Audit Objectives

Balance-related Audit Objectives Link the eight general balance- related audit objectives to
management assertions for account balances.
❖ Balance-related audit objectives are similar to the transaction-related audit objectives
just discussed.
❖ They also follow from management assertions and they provide a frame - work to help
the auditor accumulate sufficient appropriate evidence related to account balances.
❖ There are also both general and specific balance-related audit objectives.
❖ There are two differences between balance-related and transaction-related audit
objectives.

❖ First, balance-related audit objectives are applied to account balances such as

accounts receivable and inventory rather than classes of trans actions such as sales
transactions and purchases of inventory.
❖ Second, there are eight balance-related audit objectives compared to six transaction-
related audit objectives.

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General Balance-related Audit Objectives
Existence Amounts included exists

Completeness Existing amounts are included

Accuracy Amounts included are stated at the correct amount

Classification Amounts are properly classified

Cutoff Transactions are recorded in the proper period

Detail tie-in Account balances agree with master file amounts & with

The General ledger

Realizable value Assets are included at estimated realizable value

Rights and obligations Assets must be owned

4.10. Presentation And Disclosure-related Audit Objectives

❑ Presentation And Disclosure-related Audit Objectives Link the four presentation and
disclosure-related audit objectives to management assertions for presentation and
disclosure.
❑ The presentation and disclosure-related audit objectives are identical to the
management assertions for presentation and disclosure discussed previously.
❑ The same concepts that apply to balance-related audit objectives apply equally to
presentation and disclosure audit objectives.

4.11. Audit evidence and Documentation

Audit evidence is all of the information used by the auditor in arriving at the conclusions on
which the audit opinion is based. Audit evidence includes the accounting records and other
information underlying the financial statement. Audit evidence is different from the legal
evidence required by forensic accounting. In a civil lawsuit, evidence must be strong
enough to incline a person to believe one side or the other. In a criminal case, evidence must
establish proof of a crime beyond a reasonable doubt. Audit evidence provides only
reasonable assurance.

Sufficient Appropriate Audit Evidence

Sufficiency is the measure of the quantity of audit evidence.
Appropriateness is the measure of the quality of audit evidence, that is, its relevance and its
reliability in providing support for, or detecting misstatements in, the classes of transactions,

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account balances, and disclosures and related assertions. The auditor should consider the
sufficiency and appropriateness of audit evidence to be obtained when assessing risks and
designing further audit procedures.
The quantity of audit evidence needed is affected by the risk of misstatement (the greater the
risk, the more audit evidence is likely to be required) and also by the quality of such audit
evidence (the higher the quality, the less the audit evidence that may be required).
Accordingly, the sufficiency and appropriateness of audit evidence are interrelated.
However, merely obtaining more audit evidence may not compensate if it is of a lower
quality. A given set of audit procedures may provide audit evidence that is relevant to certain
assertions but not to others.
For example, inspection of records and documents related to the collection of receivables
after the period end may provide audit evidence regarding both existence and valuation,
although not necessarily the appropriateness of period-end cut offs. On the other hand, the
auditor often obtains audit evidence from different sources or of a different nature that is
relevant to the same assertion. For example, the auditor may analyse the aging of accounts
receivable and the subsequent collection of receivables to obtain audit evidence relating to
the valuation of the allowance for doubtful accounts. Furthermore, obtaining audit evidence
relating to a particular assertion, for example, the physical existence of inventory, is not a
substitute for obtaining audit evidence regarding another assertion, for example, rights and
obligations.
The reliability of audit evidence is influenced by its source and by its nature and is dependent
on the individual circumstances under which it is obtained. Generalizations about the
reliability of various kinds of audit evidence can be made; however, such generalizations are
subject to important exceptions. Even when audit evidence is obtained from sources external
to the entity, circumstances may exist that could affect the reliability of the information
obtained.

For example, audit evidence obtained from an independent external source may not be
reliable if the source is not knowledgeable. The auditor's judgment as to what is sufficient
appropriate audit evidence is influenced by:
❖ Auditor’s assessment of the nature and level of inherent risk at both the financial
statement level and the account balance or class of transactions level,
❖ Nature of the accounting and internal control systems and the assessment of control
risk,
❖ Materiality of the item being examined,
❖ Experience gained during previous audits,
❖ Results of audit procedures, including fraud or error which may have been found and,

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 ❖ Source and reliability of information available.
When obtaining audit evidence from tests of control, the auditor should consider the
sufficiency and appropriateness of the audit evidence to support the assessed level of control
risk. While recognizing that exceptions may exist, the following generalizations about the
reliability of audit evidence are useful:

✓ Audit evidence is more reliable when it is obtained from knowledgeable independent

sources outside the entity.
✓ Audit evidence that is generated internally is more reliable when the related controls
imposed by the entity are effective.
✓ Audit evidence obtained directly by the auditor (for example, observation of the
application of a control) is more reliable than audit evidence obtained indirectly or by
inference (for example, inquiry about the application of a control).
✓ Audit evidence is more reliable when it exists in documentary form, whether paper,
electronic, or other medium (for example, a contemporaneously written record of a
meeting is more reliable than a subsequent oral representation of the matters discussed).
✓ Audit evidence provided by original documents is more reliable than audit evidence
provided by photocopies or facsimiles.
The auditor should consider the reliability of the information to be used as audit evidence, for
example, photocopies; facsimiles; or filmed, digitized, or other electronic documents,
including consideration of controls over their preparation and maintenance where relevant.

Competent audit evidence

Competence of evidence refers to the degree to which evidence can be considered believable
or worthy of trust. Competence cannot be improved by selecting a larger sample size or
different population items.

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Following are seven characteristics that determine competence of audit evidence.

Factor determining competence Example of Competent Evidence

Relevance Trace inventory items located in the warehouse to their

inclusion in the inventory subsidiary records

Independence of provider Confirmation of a bank balance

Effectiveness of client's internal Use of duplicate sales invoices for a large well-run company
controls

Auditor's direct knowledge Physical examination of inventory by the auditor

Qualifications of provider Letter from an attorney dealing with the client's affairs

Degree of objectivity Count of cash on hand by auditor

Timeliness Observe inventory on the last day of the fiscal year

Types of Audit Evidences and Evidence Gathering Procedures

The auditor should obtain audit evidence to draw reasonable conclusions on which to base the
audit opinion by performing audit procedures to:

➢ Obtain an understanding of the entity and its environment, including its internal control,
to assess the risks of material misstatement at the financial statement and relevant

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 assertion levels (audit procedures performed for this purpose are referred to as risk
assessment procedures);
➢ When necessary, or when the auditor has determined to do so, test the operating
effectiveness of controls in preventing or detecting material misstatements at the relevant
assertion level (audit procedures performed for this purpose are referred to as tests of
controls); and
➢ Detect material misstatements at the relevant assertion level (audit procedures performed
for this purpose are referred to as substantive procedures and include tests of details of
classes of transactions, account balances, and disclosures, and substantive analytical
procedures).

1. Physical examination/ Physical evidence

Physical evidence consists of factual evidence of things that can be counted, examined,
observed or inspected. Examples of physical evidence include counting of fixed assets,
inventory, cash and market securities, to determine their existence, physical condition and
quality & quantity of the assets.

2. Inspection

Inspection of document consists of examining records or documents, whether internal or

external, in paper form, electronic form, or other media. Inspection of records and documents
provides audit evidence of varying degrees of reliability, depending on their nature and
source and, in the case of internal records and documents, on the effectiveness of the controls
over their production. An example of inspection used as a test of controls is inspection of
records or documents for evidence of authorization.

Some documents represent direct audit evidence of the existence of an asset, for example, a
document constituting a financial instrument such as a stock or bond. Inspection of such
documents may not necessarily provide audit evidence about ownership or value. In addition,
inspecting an executed contract may provide audit evidence relevant to the entity's
application of accounting principles, such as revenue recognition.

3. Observation

Observation consists of looking at a process or procedure being performed by others, for

example, the observation by the auditor of the counting of inventories by the entity’s
personnel or observation of internal control procedures that leave no audit trail.

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Observation provides audit evidence about the performance of a process or procedure, but is
limited to the point in time at which the observation takes place and by the fact that the act of
being observed may affect how the process or procedure is performed.

Observation is mostly visual, but also involves all the other senses. Hearing, touch, and smell
may also be used in gathering evidence. For example, it is typical for the auditor to do a site
visit at the client’s facilities. On site visits the auditor can get an idea of the implementation
of internal controls, notice what equipment is utilized and what equipment may be collecting
dust – or rusting. An auditor with a good knowledge of the industry can tell what equipment
and methods are obsolete by observing.
Sufficient evidence is rarely obtained through observation alone. Observation techniques
should be followed up by other types of evidence gathering procedures.

4. Inquiry

Inquiry consists of seeking information of knowledgeable persons, both financial and

nonfinancial, inside or outside the entity. Inquiry is an audit procedure that is used
extensively throughout the audit and often is complementary to performing other audit
procedures. Inquiries may range from formal written inquiries to informal oral inquiries.
Evaluating responses to inquiries is an integral part of the inquiry process.

5. Confirmation

Confirmation consists of the response to an inquiry of a third party to corroborate

information contained in the accounting records. For example, the auditor ordinarily seeks
direct confirmation of receivables by communication with debtors. Confirmation is the act of
obtaining audit evidence from a third party in support of a fact or condition.

Confirmation, which is a specific type of inquiry, is the process of obtaining a representation

of information or of an existing condition directly from a third party. For example, the auditor
may seek direct confirmation of receivables by communication with debtors.

6. Recalculation

Recalculation consists of checking the mathematical accuracy of documents or records.

Recalculation can be performed through the use of information technology, for example, by
obtaining an electronic file from the entity.

7. Re performance

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Re performance is the auditor's independent execution of procedures or controls that were
originally performed as part of the entity's internal control, either manually or through the use
of CAATs, for example, re performing the aging of accounts receivable.

8. Analytical Procedures

Analytical procedures consist of evaluations of financial information made by a study of

plausible relationships among both financial and nonfinancial data. Analytical procedures
also encompass the investigation of identified fluctuations and relationships that are
inconsistent with other relevant information or deviate significantly from predicted amounts.

The Use of Assertions in Obtaining Audit Evidence

Management is responsible for the fair presentation of financial statements that reflect the
nature and operations of the entity. In representing that the financial statements are fairly
presented in conformity with generally accepted accounting principles, management
implicitly or explicitly makes assertions regarding the recognition, measurement,
presentation, and disclosure of information in the financial statements and related disclosures.

Assertions used by the auditor fall into the following categories:

A. Assertions about classes of transactions and events for the period under Audit
➢ Occurrence: Transactions and events that have been recorded have occurred and
pertain to the entity.
➢ Completeness: All transactions and events that should have been recorded have been
recorded.
➢ Accuracy: Amounts and other data relating to recorded transactions and events have
been recorded appropriately.
➢ Cut-off: Transactions and events have been recorded in the correct accounting
period.
➢ Classification: Transactions and events have been recorded in the proper accounts.

B. Assertions about account balances at the period end

➢ Existence: Assets, liabilities, and equity interests exist.

➢ Rights and obligations: The entity holds or controls the rights to assets, and
liabilities are the obligations of the entity.
➢ Completeness: All assets, liabilities, and equity interests that should have been
recorded have been recorded.

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 ➢ Valuation and allocation: Assets, liabilities, and equity interests are included in the
financial statements at appropriate amounts and any resulting valuation or allocation
adjustments are appropriately recorded.

C. Assertions about presentation and disclosure

➢ Occurrence and rights and obligations: Disclosed events and transactions have
occurred and pertain to the entity.
➢ Completeness: All disclosures that should have been included in the financial
statements have been included.
➢ Classification and understand ability: Financial information is appropriately
presented and described and disclosures are clearly expressed.
➢ Accuracy and valuation: Financial and other information are disclosed fairly and at
appropriate amounts.

The auditor may use the relevant assertions as they are described above or may express them
differently provided aspects described above have been covered. For example, the auditor
may choose to combine the assertions about transactions and events with the assertions about
account balances. There may not be a separate assertion related to cut off of transactions and
events when the occurrence and completeness assertions include appropriate consideration of
recording transactions in the correct accounting period.

The auditor should use relevant assertions for classes of transactions, account balances, and
presentation and disclosures in sufficient detail to form a basis for the assessment of risks of
material misstatement and the design and performance of further audit procedures. The
auditor should use relevant assertions in assessing risks by considering the different types of
potential misstatements that may occur, and then designing further audit procedures that are
responsive to the assessed risks.

Relevant assertions are assertions that have a meaningful bearing on whether the account is
fairly stated. For example, valuation may not be relevant to the cash account unless currency
translation is involved; however, existence and completeness are always relevant.

Similarly, valuation may not be relevant to the gross amount of the accounts receivable
balance but is relevant to the related allowance accounts. Additionally, the auditor might, in
some circumstances, focus on the presentation and disclosure assertion separately in
connection with the period-end financial reporting process.

For each significant class of transactions, account balance, and presentation and disclosure,
the auditor should determine the relevance of each of the financial statement assertions. To

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identify relevant assertions, the auditor should determine the source of likely potential
misstatements in each significant class of transactions, account balance, and presentation and
disclosure. In determining whether a particular assertion is relevant to a significant account
balance or disclosure, the auditor should evaluate:

✓ The nature of the assertion;

✓ The volume of transactions or data related to the assertion; and
✓ The nature and complexity of the systems, including the use of information
technology, by which the entity processes and controls information supporting the
assertion.

Documenting the Audit process

All audit work must be documented; the working papers are the tangible evidence of
the work done in support of the Audit opinion. Auditor should document in their
working papers matters, which are important in supporting their reports.
Working papers are the material the auditors prepare or obtain and retain in
connection with the performance of the audit working papers may be in the form of
data stored on papers, electronic media or other media.
Working papers support, amongst other things, the statement in the auditor’s report as to
the auditors compliance or otherwise with auditing standards to the extent that this is
important in supporting their report.

Working papers are record of:

❖ The planning and performance of the audit
❖ The supervision and review of the audit work and
❖ The audit evidence resulting from the audit work performed w/h the auditors
consider necessary and on which they have relied to support their report.

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