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December 2014 question 4 (a)

Forums › Ask ACCA Tutor Forums › Ask the Tutor ACCA AAA Exams › December 2014 question 4 (a)

  • This topic has 1 reply, 2 voices, and was last updated 7 years ago by AvatarKim Smith.
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  • November 13, 2018 at 7:27 pm #484736
    Avatarkhatun120
    Participant

    Explain the last para’s of this sentence

    I am hoping that the fee will be quite low, as I am willing to pay more more services that I consider more beneficial to the business, such as strategic advice.

    November 14, 2018 at 6:52 am #484762
    AvatarKim Smith
    Keymaster

    “more more” should be “more for”

    He is saying “I hope that the [audit] fee will be low, as I am willing to pay more for [non-audit] services.”
    i.e. putting pressure on too low an audit fee – can the auditor accepts this? What is risk to audit quality? What threats would providing the other services (e.g. providing presumably business advice about the company’s strategy) create?

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