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In part c,
Answer states that conflict of interest will arise.
But im not sure how a conflict of interest creates threats to objectivity, confidentiality, or other threats to compliance with the fundemental ethical principles.
Conflict of interest means when an org has competing interests but i really do not understand how it can affect objectiviry , confidentiality or other threats…..
As a resource for reference download Rulebook from ACCA’s www – it includes the entire code https://www.accaglobal.com/sg/en/about-us/regulation/rulebook.html
It is easily searched and the parts most relevant to AAA are Part A (General application) and Part B (Public Practice).
To your Q: You have 2 audit clients C and H and C is tendering to supply H with goods. How can you be objective/unbiased in advising C on the tender? Knowing what you know about H, how can you be sure to not breach your duty of confidentiality to H? What would H think if it knew that you were advising C?
Remind yourself of what it means to be independent (para 290.6 in the Rulebook).
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