Answered: matteraffecting creditability of the…

Business

Accounting

matteraffecting creditability of the adutior

FINANCIAL ACCOUNTING

10th Edition

ISBN:9781259964947

Author:Libby

Publisher:Libby

Chapter1: Financial Statements And Business Decisions

Section: Chapter Questions

Problem 1Q

See similar textbooks

Related questions

Q: hich of the following is not a fundamental quality of useful accounting information? Group of

A: Materiality is crucial in determining what information to include, It is not one of the core…

Q: What are the ethical and professional expectations for CPA's by the accounting prefession?

A: Auditors work on behalf of shareholders and various other stakeholders; whereas, they are required…

Q: How does an audit of financial statements pertain to agency theory?

A: Agency theory is an approach to analysing various relationship in term of principal and agent. The…

Q: 2-17 (Objective 2-7) The following questlols the best response. a. The nature and extent of a CPA…

A: Quality control under auditing are the set of policies and procedures that should be followed by…

Q: Practice question:

A: ANSWER No, I disagree with the statement that ''Having competent technical talents and capabilities…

Q: ine the reasons why auditor independence is considered of fundamental importance for confidence in…

A: The independence of the auditor is referred to as auditor independence. It is distinguished by…

Q: Support for Politicization of rule making for accounting standards

A: The politicization of accounting rulemaking should not be viewed in a narrow sense. As accounting…

Q: Auditing is a systematic process by which a competent, independent person objectively obtains and…

A: The word auditor is used to define that qualified professional who has been assigned with the…

Q: Which of the following characteristics must exist for accounting information to be useful in making…

A: Definition:

Q: One of an accounting firm’s basic objectives is to provide professional services that conform to…

A: Definition: Quality control: Quality control is a set of guidelines that helps in ensuring that the…

Q: The lack of conceptual framework led to the growth of rules-based accounting system which focusing…

A: There are many concepts in the accounting which are important in business and from view point of…

Q: Financial audit Q&A Auditors also need to consider the subjective needs of users of financial…

A: Auditing involves an independent examination of financial records of an entity with a view to…

Q: What is the term used to describe a systematic process of objectively obtaining evidence regarding…

A: Auditing is a systematic process that helps in providing a true and fair picture of the financial…

Q: To what extent are financial reports providing relevant and timely information to stakeholders?…

A: Given: The extent at which the financial provide information to stake holders and its improvements…

Q: discuss the importance of selecting an appropriate research methodology in accounting research,…

A: In accounting research, selecting an appropriate research methodology is important because it has a…

Question

It has been suggested the most important matteraffecting creditability of the adutior is that of 'independence'

a) discuss ,giving examples , matters other than independence , which might be relevant in relation to creditability of an auditor and the steps that accounting profession has taken or might take in relation to them

Expert Solution

This question has been solved!

Explore an expertly crafted, step-by-step solution for a thorough understanding of key concepts.

SEE SOLUTION Check out a sample Q&A here

Credibility of the auditor

VIEW

Matters relevant to the credibility of the auditor and related steps of accounting profession

VIEW

Step by step

Solved in 2 steps

SEE SOLUTION Check out a sample Q&A here

Similar questions

Which section of the regulations require a CPA to comply with Generally Accepted Accounting Principles and Generally Accepted Auditing Standards? If compliance is required by other organizations (PCAOB, AICPA, etc.) why do you think this requirement is also included in the regulations?
How do you think accounting standards should be set? Is that the approach currently taken by the IASB?
Which of the following parties is responsible for the fairness of the representations made in financial statements? * O AICPA. Independent auditor. O Audit committee. O Client's management.
Comparability is an enhancing qualitative characteristic that results in Select one: rigid uniformity in the application of accounting principles. information that enables users to identify and understand similarities in and differences among financial statement items. greater use of judgment in the application of accounting standards. the ability of users to understand inherently complex phenomena.
Critically evaluate the importance of auditor independence in adding value to the financial statements. With reference to a real case where auditor independence has been questioned, critically discuss the challenges to achieving auditor independence
Which one of the following concepts is an important issue for the Auditors of financial accounts? O a. Understandability concept O b. Business entity concept O c. Disclosure concept O d. Materiality concept
Which of the following can be used as a criteria for evaluating information being audited? A) International Financial Reporting Standards (IFRS)B) Generally Accepted Accounting Principles (GAAP)C) Internal Revenue Code (IRC)D) all of the above
what are the key factors that should be considered in determining whether a financial statement is material? should auditors apply the same material guidelines or benchmarks as financial accountants ?
Sage Company is operating at 90% of capacity and is currently purchasing a part used in its manufacturing operations for $13.00 per unit. The unit cost for the business to make the part is $21.00, including fixed costs, and $11.00, not including fixed costs. If 39,927 units of the part are normally purchased during the year but could be manufactured using unused capacity, the amount of differential cost increase or decrease from making the part rather than purchasing it would be a a.$79,854 cost decrease b.$319,416 cost increase c.$79,854 cost increase d.$519,051 cost decrease
What type of audit objectively obtains and evaluates evidence regarding assertions about economic actions and events to ascertain the degree of correspondence between those assertions and established criteria? This type also communicates the results to interested users.
Which of the following statements is NOT correct about materiality?Select one: a. Auditor’s consideration of materiality is influenced by the auditor’s perception of the needs of an informed decision maker who will rely on the financial statements b. Materiality is a relative concept c. Materiality judgments involve both quantitative and qualitative judgments d. At the planning state, the auditor considers materiality at the financial statement level only
Why it is important to have auditing standards? Specifically, why are ethics important to the auditing profession?