What is the primary focus of the auditor’s professional judgement?

The primary focus of the auditor’s professional judgment is to evaluate relevant audit matters. This involves making informed decisions based on the evidence gathered during the audit process, applying knowledge of accounting standards, and considering the nuances of the specific circumstances of the audit engagement. Auditors assess risks, interpret regulations, and determine the reliability of financial information, leading to a reasoned opinion on whether the financial statements present a true and fair view of the company's financial position.

This evaluative process is critical because it ensures that the auditor can identify areas that may pose significant risks of material misstatement, enabling them to design appropriate audit responses. The auditor must use their expertise to weigh the results of their findings against established criteria, which is fundamental to their role in maintaining the integrity of financial reporting.

Other options like maintaining friendly relationships with clients or providing financial advice do not capture the essence of an auditor’s primary responsibility, as those activities can potentially compromise objectivity. Certifying all financial transactions suggests an unrealistic scope of assurance that contradicts the nature of an audit, which assesses but does not guarantee complete accuracy for every transaction. Therefore, the focus on evaluating relevant audit matters reflects the essence of the professional judgment an auditor must exercise throughout the audit process.