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expectation gap

Forums › ACCA Forums › ACCA AA Audit and Assurance Forums › expectation gap

  • This topic has 1 reply, 2 voices, and was last updated 11 years ago by aimanaljafri.
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  • October 29, 2013 at 12:47 pm #144029
    jubaer1
    Member
    • Topics: 8
    • Replies: 4
    • ☆

    what is Professional clearance and Expectation gap…….??

    November 19, 2013 at 12:47 am #146687
    aimanaljafri
    Member
    • Topics: 8
    • Replies: 39
    • ☆

    expectation gap is what clients expects auditors supposed to do. they might assume that auditors needs to detect every material misstatement or design system controls etc when that should’ve been the management’s job.
    we can bridge that gap by using engagement letter which list out auditor’s reponsibilites and director’s responsibilites so there’ll be no misunderstanding and therefore avoid any potential ligitations aganst the firm

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