Independence for Audit and Review Eng

Question 1

Fees (Relative size; Overdue fees; Contingent fees)

Answer 1

1. Self-interest
2. Intimidation

Question 2

Compensation and evaluation policies

Answer 2

1. Self-interest

Question 3

Gifts and hospitality

Answer 3

1. Self-interest
2. Familiarity
3. Intimidation

Question 4

Actual or threatened litigation

Answer 4

1. Self-interest
2. Intimidation

Question 5

Financial interests

Answer 5

1. Self-interest

Question 6

Loans and guarantees

Answer 6

1. Self-interest

Question 7

Business relationships

Answer 7

1. Self-interest
2. Intimidation

Question 8

Family and personal relationships

Answer 8

1. Self-interest
2. Familiarity
3. Intimidation

Question 9

Recent service with an audit client

Answer 9

1. Self-interest
2. Self- Review
3. Familiarity

Question 10

Serving as a Director or Officer of an audit client

Answer 10

1. Self-interest
2. Self- Review

Question 11

Employment with an audit client

Answer 11

1. Self-interest
2. Familiarity
3. Intimidation

Question 12

Temporary personnel assignments

Answer 12

1. Self- Review
2. Advocacy
3. Familiarity

Question 13

Long association of personnel (including partner rotation) with and audit client

Answer 13

1. Self-interest
2. Familiarity

Question 14

Provision of non-assurance services to an audit client

Answer 14

1. Self-interest
2. Self- Review
3. Familiarity
4. Intimidation

Question 15

Reports on special purpose FS that include restriction on use and distribution (audit and review engagements)

Answer 15

1. All