- This topic has 1 reply, 2 voices, and was last updated 7 years ago by
.
- Posts
Hi Sir,
I have found some difficulties in understanding the below notions. Can you kindly explain?
Pg 29 from notes – With respect to the Audit Engagement Partner, why can’t he be the independent partner for the audited entity? Exactly, who is an Independent partner please?
Pg 32 – What is a shared audit?
Pg 32 last bullet – How can you earn 70% from an audit fee from non-audit work, if it is an audit fee?
Thanks and regards,
Marylise1) There needs to be a partner (size of firm permitting) that is not directly associated with the audit assignment – a person that is in a position to take a detached view of any audit issues arising
2) A shared audit is one where there are 2 (or potentially, but rarely, more (I have never heard of any situation where there are more than two firms)) audit firms as the group auditors
3) Does it say “audit fee” or does it say “audit client”? It should be audit client but since those notes were written it is now no longer available for the auditor of a public listed company or a public-interest company to undertake any other work for that client (unless it is immaterial and only then with the sanction of the audit committee)
OK?
- The topic ‘Chapter 4 Notes’ is closed to new replies.