- 10 Marks
AA – May 2021 – L2 – Q5a – Planning and Approach for Audit and Assurance Engagements
State preconditions for audit engagements and circumstances under which an auditor may refuse an engagement
Question
ISA 210 deals with the Auditor’s responsibility in agreeing to the terms of the audit engagement with management and, where appropriate, those charged with governance. This includes establishing certain preconditions for an audit and responsibilities that rest with management and, where appropriate, those charged with governance.
Required:
i) What THREE (3) preconditions must be established before an audit engagement is accepted? (6 marks)
ii) Under what TWO (2) circumstances will an auditor refuse an engagement? (4 marks)
Find Related Questions by Tags, levels, etc.
- Tags: Audit Engagement, Audit Refusal, ISA 210, Management Responsibility, Preconditions
- Level: Level 2
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