CPA firms independence to audit will only be threatened if the Financial Information System has been developed or designed by a member of the CPA firm
As no such thing is mentioned in the problem,
We can assume that there is no such scenario and that it is allowed to use the system.
So your answer is "No"
Beck CPA firm audits the financial statements of Mary Ann Enterprises. Is implementing an off-the-shelf financial...
Beck CPA firm audits the financial statements for Mary Ann Enterprises. Beck CPA also prepares the entire GAAP financial statements of Mary Ann Enterprises and prepares the personal tax return of Mary Ann Jones, the CEO and 100% owner of Mary Ann Enterpises. Is this a violation of the AICPA Code of Professional Conduct? O No 0 Yes
Casa Royale, Inc., a public company, retains Ying and Company CPA to audit its financial statements and internal control. Howard Smythe, the partner in charge of the audit, drafted the following unqualified report: Report of Independent Registered Public Accounting Firm (Comment a) To the shareholders and the board of directors (Comment b) of Casa Royale, Inc. Opinion on the Financial Statements We have audited the accompanying balance sheets of Casa Royale, Inc. (the "Company") as of December 31, 20X7 and...
Casa Royale, Inc., a public company, retains Ying and Company CPA to audit its financial statements and internal control. Howard Smythe, the partner in charge of the audit, drafted the following unqualified report: Report of Independent Registered Public Accounting Firm (Comment a) To the shareholders and the board of directors (Comment b) of Casa Royale, Inc. Opinion on the Financial Statements We have audited the accompanying balance sheets of Casa Royale, Inc. (the "Company") as of December 31, 20X7 and...
1. Consider the following statements: I. Financial statements are based on Generally Accepted Auditing Principles. II. Auditing standards issued by the AICPA’s Auditing Standards Board must be followed on all audits of companies' financial statements in the United States of America. a. I is true; II is true b. I is true; II is false c. I is false; II is true d. I is false; II is false 2. Considering the demand...