Question

Ms. Zakiya is appointed as auditor by “Muscat Bakery LLC”. She was responsible to provide factual audit report to the owner of “Muscat Bakery LLC.” During her audit work she realised that few client staff are not cooperating to provide important business operational data. Mr. Ahemed offer some costly gift to Ms. Zakiya to faver the audit report. She was not aware of tax policy which Muscat Bakery was following also wants to know the new accounting policies of Muscat Bakery LLC.

You have to explain the required qualities by Ms. Zakiya to give her fare and quality audit report.

Answer 1

The answer to the above question is:

Ms.Zakiya auditor should do the following to give a Fair and Quality report:

1.Understand the industry and Environment of the client

2.Plan for the audit

3.Develop an audit programme

4.comply with all required Auditing standard

5.Maintain Working papers of her audit work

6.Examine without any bias

7.Frame the audit report in an understandable manner for the stakeholders

Ms.Zakiya auditor should not do the following to give a Fair and Quality report:

1.Should not receive any gifts or any kind of remuneration other than in an arms-length transaction from the client.