What is the greatest concern if audit objectives are not established during the initial phase of an audit program?

Establishing audit objectives during the initial phase of an audit program is crucial because these objectives provide a clear direction for the audit process. Without well-defined objectives, there is a significant risk that important business risks may be overlooked. This is because the objectives typically guide the auditor in identifying areas of concern or focus during the audit.

When objectives are set, they help prioritize the audit's scope and ensure that the audit team understands what specific risks or controls need to be evaluated. Without this clarity, there's a higher probability that critical risks that could affect the organization's operations and objectives may not be adequately assessed or addressed, leading to potential vulnerabilities that could have otherwise been mitigated through a thorough audit process.