Auditors are important because they are able to provide assurance of an organization's financial statements from an objective and independent opinion. It benefits the company in several ways, such as maintaining consistency, finding errors in their processing, or detecting fraud. While performing work , the auditors may face situations when they will not be able to fulfill ethical requirements.    Which threat may occur as a result of the financial or other interests of a professional accountant or of an immediate or close family member? Self-interest threats Familiarity threats Advocacy threats Self-review threat

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A: Familiarity threat may occur when, because of a close relationship, a professional accountant…

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Q: Practice question:

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Q: Auditors are important because they are able to provide assurance of an organization's financial…

A: Self-review threats:- This threat may occur when a previous judgment needs to be re-evaluated by the…

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Q: Auditors are important because they are able to provide assurance of an organization's financial…

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Q: What is the concept behind separation of duties in establishing internal control? a. Employee fraud…

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A: (a)

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A: The explanation for the given options:

Q: Discuss how each of the following could affect independence of mind and independence in appearance,…

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Q: Auditors are important because they are able to provide assurance of an organization's financial…

A: Familiarity threat is the threat that due to a long or close relationship with a client or employer,…

Q: Which threat may occur when a professional accountant may be deterred from acting objectively by…

A: Intimidation threat may occur when a professional accountant may be deterred from acting objectively…

Q: The American Institute of Certified Public Accountants has been the primary source for ethical rules…

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Q: Which threat may occur when, because of a close relationship, a professional accountant becomes too…

A: Familiarity threats, which may occur when, because of a close relationship, a professional…