What factors should auditors consider in deciding whether to accept or continue the engagement with a particular client? What should firms do if they decide to withdraw from an engagement?

Q: Given what you have learned about independence, do you believe that there would be a…

A: Definition: Auditor’s Opinion: It is a written statement describing an auditor’s liberated,…

Q: irector of the client. B. An auditor acts as an advocate on behalf o

A: Here in the given MCQ, the option C & D are self interest threats. (whereas other two options…

Q: Why would a company hire internal auditors if they already have an external auditor?

A: Internal audit is the internal department of the organization which performs checks to ensure…

Q: What is in the nature of work of an auditor that puts his or her safety at risk? Answer in your own…

A: Auditor is the person who checks the accounts and the financial statements which have to be verified…

Q: The auditor should seriously consider the profitability of the engagement , when he decides whether…

A: The auditor should seriously consider the profitability of the engagement , when he decides whether…

Q: Why might adverse opinions on internal control over financial reporting prompt Daily Journal to…

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Q: Who must approve non-audit work performed by a firm for a client?

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Q: What steps should a management accountant take if established written policies provide insufficient…

A: Management accountants are the risk managers, prepare budgets and helps manager in taking various…

Q: Why do you think rules exist that restrict auditors from investing in companies that are audited by…

A: Audit: Audit is the process of verification of the compliance of the financial statements.

Q: What steps has the external auditing profession taken to minimize potential bias toward independent…

A: The auditors are appointed to provide their opinion on the financial reports examined. The auditor…

Q: Considering the competence of a firm should include consideration of whether the audit firm…

A: The auditor should have necessary competence to carry out the audit work of the client. If he has no…

Q: Explain why managers who outsource their IT function may or may not also outsource responsibility…

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Q: In referencing professional standards, what factors should auditors consider in evaluating potential…

A: Going concern is an accounting concept that makes the assumption that business will be able to…

Q: Why would a staff auditor want to be “part of the client’s team” and consent to questionable…

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Q: 1. Why is audit firm culture important in ensuring that individual audit engagement partners resolve…

A: Hello. Since your question has multiple parts, we will solve the first question for you. If you want…

Q: Provide a detailed example as to what might cause an auditor/audit firm to decline taking on a new…

A: Audit engagement: Audit engagement is the act done by the auditor/audit firm to accept the audit of…

Q: What information may auditors use to make a decision on whether or not to accept a new customer

A: After considering the information| of the data| of knowledge listed below, auditors will decide…

Q: What considerations should an auditor take into account before taking a new engagement? Explain.

A: Introduction: A financial audit is a systematic examination and evaluation of an organization's…

Q: Why do you think audit firms are willing to accept high-risk clients?

A: Auditing:   Auditing refers to an independent examination of financial information of any…

Q: What sources of information can auditors use in connection with deciding whether to accept a new…

A: Definition: Auditing: Auditing is the process by which assertions made by management about financial…

Q: What are some of the advantages and disadvantages of permitting auditors to provide nonaudit…

A: Advantages to provide non-audit services to the clients are listed as follows: Facilitation in…

Q: What additional constraints and obligations do auditors face when offering nonaudit services to…

A: The following is an explanation of what we mean by the Audit: A company's financial accounts are…

Q: Auditors are required on every engagement to obtain a representation letter from the client.   a.…

A: a. The letter of representation from the client is regarded as supporting audit evidence. They are…

Q: Do you think the concept of materiality is incompatible with ethical behavior? Consider in your…

A: The concept of materiality implies that if the net effect of the transaction is low on the financial…

Q: Why do you think that inherent and control risk is responsible for the audited company(client) and…

A: Audit means checking, verifying and examining all the financial records and information to ensure…

Q: The following are the key types of risk that audit firms consider when they make client acceptance…

A: Given: The risk types of audit company in making decisions for the client.

Q: What is  the relationship between the external auditor and the organization. What steps have been…

A: An external auditor is the person or firm who verify the financial statements of the organization…

Q: Give one reason why performing advisory services could enhance audit quality. Give one reason why…

A: Here discuss about the details of the importance of performance advisory service which are needed…

Q: What would be the audit resolution in case there is a difference of opinion in the engagement team?…

A: Auditing is the process of checking and verifying the accuracy and authenticity of books of accounts…

Q: In making a decision whether to accept or reject an engagement, an auditor should consider…

A: Before getting engaged in audit, the auditor must ensure that certain vital parameters are fulfilled…

Q: Which of the following is not related to ethical requirements of auditors?a. Due care.b.…

A: As per the ethical requirement of an auditor it is imperative that the auditor's exercises due care,…

Q: Larger firms should carefully consider their competence to take on an audit client in a specialized…

A: Competence is one of the important quality required for the auditor. He can conduct the audit only…

Q: Which clientele auditors choose to work with is influenced by ethical guidelines.

A: This question explains about auditors choose to work with is influenced by ethical guidelines.…

Q: what are business risks associated with an entity that an auditor should consider when performing an…

A: answer   Business risks associated with an entity that an auditor should consider when performing an…

Q: uditors must not only decide whether to accept new clients; they also should periodically review…

A: Auditors has a right to take all working papers and ask relevant question from the personnel working…

Q: what are the auditor Rules for Independence regarding the services they can offer the same client?

A: Auditing is the process of evaluation of companies' financial statements and reports by the auditor…

Q: From a conceptual standpoint, how do the requirements of Sarbanes–Oxley related to nonaudit services…

A: Sarbanes-Oxley Act: Sarbanes-Oxley Act was formed after the major accounting scandals to provide…

Q: How will you explain the Auditing Process to someone who has experience in Auditing firm?

A: Audit can be defined as the verification and evaluation of the financial statements that includes…

Q: Regarding auditor remuneration, a self-interest threat to professional competence and due care is…

A: The auditor would require to provide the service with his full competence and due care. But if he…

Q: How does an auditor’s commitment to the firm, the profession, and to colleagues influence whether…

A: An auditor is influenced by various factors which have a direct impact on the reporting quality with…

Q: How has the Sarbanes–Oxley Act attempted to ensure that external auditors will be completely…

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Q: In making a decision whether to accept or reject an engagement, an auditor should consider…

A: An auditor should accept the audit engagement after checking certain preconditions and evaluation of…

Q: Select which option is correct. Select one or more: A. The level of professional skepticism can be…

A: Professional skepticism is an attitude that includes a questioning mind, being alert to conditions…

Q: Choosing whether or not to accept a new client may be a difficult decision for auditors to make.

A: Definition: Auditing: A company's financial transactions are audited by an auditor (internal or…