Question

TRUE OR FALSE? In accepting an engagement letter,an auditor takes responsibilities to the public,the client,and other...

TRUE OR FALSE?

In accepting an engagement letter,an auditor takes responsibilities to the public,the client,and other members of the profession?

Business   Accounting   
0 0
Add a commentTranscribed image text
Next >

Homework Answers

Answer #1

TRUE

In accepting an engagement letter, an auditor takes responsibilities to the public, the Client and other members of the profession.

First of all, engagement letter is given by client to the auditor for accepting engagements that are going to held at client's place.So it is essential to be responsible towards them.

Secondly, Auditor do need to be responsible towards public because if auditor in dependent on client after ignoring engagement terms it will lead to non compliance of ethical requirements.

Thirdly, An auditor shall be equally responsible for other members of profession because if an auditor will do any misconduct of code of ethics it will harm the prestige of whole profession.

Note: For any query, feel free to ask in the comment box!

0 0
Know the answer?
Your Answer:

Post as a guest

Your Name:

What's your source?

Earn Coins

Coins can be redeemed for fabulous gifts.

Log In

Sign Up

Not the answer you're looking for?
Ask your own homework help question
Similar Questions
True or False Before accepting an engagement, the possible successor auditors should ask the predecessor auditors...
True or False Before accepting an engagement, the possible successor auditors should ask the predecessor auditors questions about the integrity of management, disagreements with management, and the reasons for the change in auditors.
True or False Brainstorming is a discussion among the engagement team that allows the more experienced...
True or False Brainstorming is a discussion among the engagement team that allows the more experienced team members to share insights and exchange ideas about how and where the entity’s financial statements might be susceptible to material misstatement, due to either fraud or error. If auditors uncover fraud that includes senior management, but the amounts are immaterial, the auditors are not required to report this fraud to the audit committee. In testing the new addition of a $200,000 piece of...
Assume you are an auditor, and your client is a public company with a large portfolio...
Assume you are an auditor, and your client is a public company with a large portfolio of available-for-sale equity securities. The client reports these securities at fair value, with unrealized gains and losses recognized in “other comprehensive income,” an equity account, each period. The client is preparing its quarterly financial statements and is again, for the second consecutive quarter, recording a decline in market value for several of the securities. These securities’ fair values are now below their cost. From...
Answer with True or False 1- The stewardship model of public health states that public health...
Answer with True or False 1- The stewardship model of public health states that public health officials should achieve the stated health outcomes for the population while minimizing restrictions on people's choice. 2- As a result of genetic research, few genes have been identified as markers or predictors of disease in families. 3- Perinatal testing is a type of genetic testing. 4- Mental health commitment laws enable family members, law enforcement, or healthcare professionals to commit a person to a...
True and False. Explain all false answers. 1. Proposed regulations carry more weight than temporary regulations....
True and False. Explain all false answers. 1. Proposed regulations carry more weight than temporary regulations. 2. Procedural regulations are housekeeping-type instructions. 3.The granting of a writ of certiorari indicated that at least three members of the supreme court believe that an issue is sufficient importance to be heard by the full court. 4. New Jersey is in the jurisdiction of the Eight Circuit Court of Appeals. 5. The IRS is required to make a letter ruling public.
All corporate contributions benefit the donors directly. True or False A public issue is defined as...
All corporate contributions benefit the donors directly. True or False A public issue is defined as one that is of mutual concern to an organization and at least two or more of the organization's stakeholders. True or False Inversion is the process of merging with a foreign company and relocating your headquarters to the foreign country for the purpose of expanding market share. A) True B) False The tremendous power of the world's largest corporations have primarily a negative in...
The following independent scenarios describe auditor decisions made during an audit engagement. 1. Chen Li worked...
The following independent scenarios describe auditor decisions made during an audit engagement. 1. Chen Li worked on the audit of American Healthcare Associations (AHA), which operates hospitals and outpatient centers in Texas and Oklahoma. Chen was assigned responsibility to audit the allowance for patient receivables. For the past several years, AHA’s accounting policy required that the recorded allowance for patient receivables be set to equal the total amount of receivables over 180 days past due. Prior audit testing of the...
Evaluating a potential client requires which of the following steps? Question 21 options: 1) Communicate with...
Evaluating a potential client requires which of the following steps? Question 21 options: 1) Communicate with the predecessor auditor. 2) Preplan the audit. 3) Establish the terms of the engagement. 4) None of these. Question 22 (3 points) What factor would most likely would cause a CPA not to accept a new audit engagement? Question 22 options: 1) the prospective client's unwillingness to permit inquiry of its legal counsel 2) the inability to review the predecessor auditor's documentation 3) the...
Indicate if the following are True or False. 1.Microorganisms found within other organisms are known as...
Indicate if the following are True or False. 1.Microorganisms found within other organisms are known as endosymbionts. 2. During a natural active acquired immunity - Small antibodies, IgG, present in mother’s blood crosses the placenta to reach the fetus 3. If an atom either gain or lost electrons it is said to be an Ion. 4. Capsules protect bacteria from being phagocytized by white blood cells. 5. community-acquired infection are those acquired inside of healthcare facilities 6. Epidiminiology is the...
5.Paralanguage includes yawning and laughing. True False 6.A person with the director style of communication likes...
5.Paralanguage includes yawning and laughing. True False 6.A person with the director style of communication likes to know the whole picture and thrives on details. True False 7.Effective feedback is evaluative rather than descriptive. True False 8.Social cognitive theory posits that humans often evaluate themselves quite differently than others do. True False 9.Vertical communication is required to make a coordinated, cross functional effort in achieving organizational goals. True False 10.The informal system of communication has a highly impersonal orientation. True...
ADVERTISEMENT
Need Online Homework Help?

Get Answers For Free
Most questions answered within 1 hours.

Ask a Question
ADVERTISEMENT