Which of the following statements is true regarding audit confidentiality?

The correct answer emphasizes the principle that working papers related to audits are not classified as public records and therefore cannot be disclosed. This confidentiality serves to protect sensitive information and the integrity of the audit process. It ensures that the preliminary findings, analyses, and evidence collected during an audit remain secure and are only accessible to authorized individuals or entities involved in the audit. Maintaining this level of confidentiality is vital for encouraging open communication and ensuring that individuals or organizations being audited provide candid information without fear of public exposure.

The nature of working papers, which may include drafts, notes, and internal discussions, reflects the auditors' findings before the final report is issued. This confidentiality safeguard enables an environment where auditors can thoroughly assess situations and make independent judgments without external pressure.

In contrast, the other statements imply that audit-related information is more accessible or less secure than it actually is, which misrepresents the legal and ethical standards governing audit processes.