You are discussing your new role as an audit senior for one of the “big four” accounting firms with an old friend from your student days.
You are discussing your new role as an audit senior for one of the “big four” accounting firms with an old friend from your student days.
Your friend is querying whether your firm can be truly independent given that they are paid a considerable sum of money to perform the audits of their various clients and they may also provide various additional non audit services to the same audit clients. Your friend’s comments cause you to reflect and you decide to give these issues some thought!
Required
Explore the query you friend has raised and decide whether the query has any merit.
In formulating a response, be sure to consider IFAC and FRC guidance/standards on this issue and provide real world examples to amplify your discussion.
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