Julia Roberto
a. Julia Roberto, a sole practitioner, has provided extensive advisory services for her audit client, Leather and Chains. She has interpreted financial statements, provided forecasts and other analyses, counselled on potential expansion plans, and counselled on banking relationships, but has not made any management decisions.
Ans : Seems not affect management reappoint her or not, although admire on her, but final decisions made by management.
b. Steve Rackwill, practitioner, has been asked by his audit client, Petry Plumbing Supply, to help in the process when implementing a new IT control system. Rackwill will arrange interviews for Petry’s hiring of new personnel, and instruct and oversee the training of current client personnel. Petry will make all hiring decisions and supervise employees once they are trained.
Ans: Even help in the process when implementing a new IT control system and arrange interviews, but final decision made by himself
c. Bob lanzotti is the partner-in-charge of the audit of Fleet Mobile Homes. Over the years, he has become a golfing buddy of Fleet’s CEO, Jim Harris. During the current year Lanzotti and Harris jointly purchased an exclusive vacation home in Southern Spain. The vacation home represents more than 10 per cent of Lanzotti’s personal wealth
Ans: Independence of mine 10% Independence in appearance 表面證供
d. Kraemeer n Kraemeer recently won the audit of Garvin Clothiers, a large manufacturer of women’s clothing. Jock Kraemeer had a substantial investment in Garvin prior to bidding on the engagement. In anticipation of winning the engagement, Kraemeer placed his shares of Garvin stock in a trust.
Ans: Self interest
e. Zeker n Associates audits a condominium association in which the parents of a member of the firm own a unit and reside. The unit is material to the parents’ net worth, and the member participates in the engagement.
Ans: Independence of appearance
f. Jimmy Saad, a sole practitioner,
Ans : Seems not affect management reappoint her or not, although admire on her, but final decisions made by management.
b. Steve Rackwill, practitioner, has been asked by his audit client, Petry Plumbing Supply, to help in the process when implementing a new IT control system. Rackwill will arrange interviews for Petry’s hiring of new personnel, and instruct and oversee the training of current client personnel. Petry will make all hiring decisions and supervise employees once they are trained.
Ans: Even help in the process when implementing a new IT control system and arrange interviews, but final decision made by himself
c. Bob lanzotti is the partner-in-charge of the audit of Fleet Mobile Homes. Over the years, he has become a golfing buddy of Fleet’s CEO, Jim Harris. During the current year Lanzotti and Harris jointly purchased an exclusive vacation home in Southern Spain. The vacation home represents more than 10 per cent of Lanzotti’s personal wealth
Ans: Independence of mine 10% Independence in appearance 表面證供
d. Kraemeer n Kraemeer recently won the audit of Garvin Clothiers, a large manufacturer of women’s clothing. Jock Kraemeer had a substantial investment in Garvin prior to bidding on the engagement. In anticipation of winning the engagement, Kraemeer placed his shares of Garvin stock in a trust.
Ans: Self interest
e. Zeker n Associates audits a condominium association in which the parents of a member of the firm own a unit and reside. The unit is material to the parents’ net worth, and the member participates in the engagement.
Ans: Independence of appearance
f. Jimmy Saad, a sole practitioner,