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Hi sir, it is stated in my textbook that “accepting gifts and hospitality which are significant, from an audit client, can create self interest and familiarity threat ”
I understand that it creates a self interest threat because the auditor would not wish to upset the client in any way for fear of losing the benefit.But i dont understand how it creates a familiarity threat. Could you explain to me ?
Having lots of restaurant means with the client can lead to friendship/familiarity.
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