- This topic has 1 reply, 2 voices, and was last updated 8 years ago by
.
Viewing 2 posts - 1 through 2 (of 2 total)
- Posts
sir,there is a question from the case?if the bank would like a report from the external auditors to confirm the accuracy of the cash flow forecast,is it arise the advocacy threat?
Thank you.First, remember that such a report would be a limited/negative assurance engagement. No accountant would ever give a positive/reasonable opinion be saying the the cash flow was accurate as no-one can know the future.
Giving a limited/negative assurance (ie something like.. “nothing has come to our attention to suggest that the cash flow forecast is inaccurate”) does not amount to advocacy. Advocacy occurs when the accountant goes beyond stating the facts and attempts to become more persuasive than the evidence justifies.
Viewing 2 posts - 1 through 2 (of 2 total)
- You must be logged in to reply to this topic.