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The degree to which the person doing the audit can be controlled (either by personal benefit or coersion, etc) by the entity being audited, directly or indirectly. This needs to be zero, no chance that the auditor can be influenced.
Wiki User
∙ 16y ago
Wiki User
∙ 14y agoIt is important for an auditor to be independent because it will allow any third party to rely on any information and it equally adds credibility to the audit.
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Indicate the statutory rights that enhance auditor independence?
The statutory rights of the auditor that enhance auditor independence are: · s. 310, which provides that the auditor has the right of access at all reasonable times to the accounting and other records and registers, and an entitlement to require from any officer of the company such information and explanations as required for the purpose of the audit. · s. 329, which provides that an auditor may only be removed from office by a resolution at a general meeting of shareholders of which special notice has been given and the auditor is entitled to make written representations to all shareholders at the company's expense, and to speak at the general meeting. · s. 331, which provides that the auditor is entitled to receive reasonable fees and expenses for the work carried out.
What was the importance of Thomas Paine Common Sense to the movement for independence?
The pamphlet convinced many colonial americans that independence was a good move.
What was the importance of the open door policy-?
The importance of the Open Door Policy was for the Chinese to maintain independence and American trading rights in China.
What common theme do the declaration of independence and the Gettysburg address share?
The importance of freedom
Does the fact that Thomas Jefferson used earlier ideas of democracy and borrowed from Enlightenment philosophies in writing the American Declaration of Independence lessen the importance of it?
The American Declaration of Independence importance is not decreased, as it is still a major document in history.
What is independence in fact for auditor?
Independence in fact exists when the auditor is actually able to maintain an unbiased attitude throughout the audit.
What is independence in fact and independence in appearance?
Independence in fact exists when the auditor is actually able to maintain an unbiased attitude throughout the audit, whereas independence in appearance is the result of others' interpretations of this independence.
What was the second major provision of the Sarbanes-Oxley Act?
Rules designed to increase auditor independence.
An auditor maintains no direct financial interest in the company he or she is auditing what is the principle being followed is?
Independence
Indicate the statutory rights that enhance auditor independence?
The statutory rights of the auditor that enhance auditor independence are: · s. 310, which provides that the auditor has the right of access at all reasonable times to the accounting and other records and registers, and an entitlement to require from any officer of the company such information and explanations as required for the purpose of the audit. · s. 329, which provides that an auditor may only be removed from office by a resolution at a general meeting of shareholders of which special notice has been given and the auditor is entitled to make written representations to all shareholders at the company's expense, and to speak at the general meeting. · s. 331, which provides that the auditor is entitled to receive reasonable fees and expenses for the work carried out.
What is the importance of internal auditor for an organization?
The purpose of an internal auditor is to review the current methods within a company and determine if they are beneficial or not. This may include review wages of employees, profit margins and sales prices.
What are the qualities of an auditor?
1.Integrity 2.Independence 3.Objectivity 4.logical ability 5.tactfulness
Do government auditors have to be independent?
The auditor and his/her firm must be free, in both fact and appearance, from all types of impairments of independence
What is independent auditing?
It refers to the auditor having independence from the people that have a financial interest in the audit. It ensures the audit is not done with bias.
Is words auditor means internal auditor?
No. The word auditor doesn't only mean an internal auditor but also an external auditor. An auditor could be an internal or an external auditor. In most cases simply an auditor means an external auditor.
How is auditors independence compromised?
Independence can be compromised in following ways:1 - auditor is spous of management of company2 - doing some kind of business with any member of board of directors3 - auditor is getting some kind of remuniration from the company which he auditing4 - some kind of dealing with company or any member of management etc.
Why was the massacre an importance event in the cause for independence?
It made more people support independence.
