Has the accounting profession created a situation in which auditors’ ethical behavior is impaired by their professional obligations? How does the profession’s view of such obligations relate to how courts tend to view the legal liability of auditors?

Q: What is the biggest role or contribution that an accountant/auditor can do in ensuring that ethical…

A: Fraudulent Activities: Deception or other unethical tactics are used to acquire an unlawful benefit,…

Q: Describe what an auditor should do if an attorney refuses to give information that is within the…

A: This question explains about the attorney's authority and might have a direct impact on the…

Q: What are the ethical and professional expectations for CPA's by the accounting prefession?

A: Auditors work on behalf of shareholders and various other stakeholders; whereas, they are required…

Q: Explain the auditor legal liability, this includes what law that procure such liability?

A: An auditor is expected to complete their tasks in good faith and with integrity and should operate…

Q: sufficient care and skill in carrying out their audit might lead to legal action by those who claim…

A: Auditing refers to the process when an accounting professional collects and rechecks all the…

Q: What is the auditor's role when a client fails to follow the law?

A: This question explains about the auditor's role on a client fails to follow the law.

Q: Why is independence is such an important requirement for auditors. Who gets hurt when accountants…

A: An auditor is an individual or an organisation authorized to review and verify the effectiveness,…

Q: Who can sue the auditor? how they can sue the auditor. Explain.

A: An auditor is a person or an entity (if the auditor is a firm), who is authorized and assigned/hired…

Q: For what type of actions can clients bring suit against auditors under common law? What must…

A: Given: The clients can bring suit against auditors for breach of contract under common liability…

Q: Auditors may be held liable to both their clients and third parties under common law. a. What must…

A: An auditor has an obligation to their clients and third part to exercise due professional care.…

Q: action which can be taken by SAICA against the external auditor if he/she applied negligence in…

A: The action that can be taken by SAICA ( South African Institute of Chartered Accountants) against…

Q: In comparison to the burden of proof required of plaintiffs in civil lawsuits against independent…

A: In comparison to the burden of proof required of plaintiffs in civil lawsuits against independent…

Q: Some criticize the accounting profession for using expressions in the audit report that seem to be…

A:

Q: Which of the following is an example of a self-interest threat to the fundamental principles? The…

A: Self interest threat is the threat of auditor that holds a direct or indirect financial interest in…

Q: What are some of the advantages and disadvantages of permitting auditors to provide nonaudit…

A: Advantages to provide non-audit services to the clients are listed as follows: Facilitation in…

Q: What are the differences between business failure, auditor failure, and audit risk? Is it fair to…

A: Audit risk is the risk which arises due to the probability or the chance of reporting the financial…

Q: How might an accounting firm influence whether non–tax practitioners view a contentious issue with a…

A:

Q: what happens when auditor is being irresponsible to the company?

A: Auditing is a process in which an auditor checks the accounts and financial statements of the…

Q: How does the prudent person concept affect the liability of the auditor?

A: Prudence is one of the accounting principle, which says that all anticipated losses should be…

Q: What are the concepts of legal responsibility applicable to the accountant in his audit functions…

A: Legal Responsibility of Auditor: Every day, more and more people are becoming concerned about the…

Q: When it comes to cases involving compilation and review services, what extra defenses are available…

A: Engagement in the compilation: Compilation engagements are when an accountant assists management…

Q: A number of cases have considered the auditor’s liability in relation to persons other than the…

A: Generally, it is considered that the auditor's liability in relation to person other than the…

Q: What is the auditor's role in reporting violations of the Corporations Act under the Corporations…

A: Act on Corporations: One of the characteristics of Australia's commonwealth is the Corporations Act…

Q: In your words, what is the legal responsibility of the auditor?

A: Auditors are the authorized individual to examine the financials or accounts of the companies and…

Q: How would an auditor communicate  known there are violations of the law and the auditor's…

A: Audit is the process in which auditor independently examined the financial information of any type…

Q: Which of the following ethical principles states that "A professional accountant should avoid any…

A: A professional accountant is required to act in a particular way during carrying his duties. A…

Q: Which ethical principle is violated by an auditor who discloses information for personal gain? a.…

A: Auditing means the independent checking of company operation by outsider. Auditor is a qualified and…

Q: Which of the following is not related to ethical requirements of auditors?a. Due care.b.…

A: As per the ethical requirement of an auditor it is imperative that the auditor's exercises due care,…

Q: From the Auditor's point of view, what is your recommendations and solution about Enron's Accounting…

A: Auditor is the person who checks the financial statements of the company to determine and give…

Q: What types of actions may an auditor be liable to a client under common law? Why would the clients…

A: Auditor liability is becoming more of a concern, not just in terms of audit quality and the…

Q: AICPA independence requirements suggest that a CPA should evaluate whether a particular threat to…

A: AICPA: It is the world's largest National professional organisation which represents the accounting…

Q: Do you believe that the SEC should prohibit auditors from providing all nonaudit services for audit…

A: Auditing:   Auditing refers to an independent examination of financial information of any…

Q: How has the Sarbanes–Oxley Act attempted to ensure that external auditors will be completely…

A:

Q: • Describe some civil and criminal consequences if CPAS/auditors fail to follow professional…

A: Auditor's Liability Risk: Audit risk is the possibility that financial statements are significantly…

Q: What are some civil and criminal consequences if CPAs/auditors fail to follow professional…

A: The CPA may be held liable to financial users for any fraud and/or intentional deceit committed. Any…

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

A: American institute of certified public accountants is a body who make rules regarding the accounting…

Q: What tyype of opinion is issued by the auditor if he or she is unable to determine the overall…

A: Introduction: In an audit report, an auditor's opinion is conveyed. An initial portion of the audit…

Q: What is the auditors responsibility regarding the noncompliance with laws by a client?

A: Audit:   It is an inspection of the financial statements of the company. It is mandatory for every…

Q: What kind of actions might customers pursue against auditors under the common law doctrine of…

A: Given: Per common liability law, customers may file a lawsuit against auditors for breach of…

Q: professional accountant

A: First option is wrong because professional behaviour is about attitude to be kept by the…

Q: Describe how the Sarbanes-Oxley Act of 2002 has impacted the role of auditors

A: While performing an audit of company, auditor has to make sure that he complies with the standards…

Q: If an auditor believes that an understanding with an audit client has not been established he or she…

A: As per the ISA 220, Agreeing the terms of the audit engagement, One of the basic objectives of the…

Q: How does a qualified opinion by an auditor differ from an unqualified opinion or an adverse opinion?

A: A qualified opinion is a statement which is issued in the auditor’s report along with the financial…