Expert Solutions on APES 110

Threats to Audit Independence Identified1.  1. Threats 2. Safeguards 3. Objective Assessment As per Paragraph 601.1 of APES 110, there is a potential to create a self-review threat to independence as MCA has been involved in providing accounting and bookkeeping services to Barry Muppet’s company, such as processing the journal entries, preparing financial report, and others (1). As per Section 60...

As the firm Mortdale Accounting is under peer review process, it shall not disclose the details or any information to any person outside the organization. Confidentiality is to be maintained by every person who is involved in peer review process including the peer review team, the members of the Board, the audit team of the firm, assistants or any other person who was involved in the audit process (Cappelleto, 2010). Hence, the Mortdale Acco...

Situation Assessmenta) The Principle of Confidentiality along with the Principle of Integrity has been challenged in the given case. In accordance with the principle of confidentiality, the auditor is required to maintain the confidentiality of each and every document that he obtains during the course of the audit of that company. Also he is not required to disclose or share the verbal material information of the client with anyone else (Tsahuri...

Overview of Conversations Highlighting Breaches of APES 110 and Auditing Principles The applicable threat associated with each of the conversations presented below is as identified below. Conversation 1: Chris, LTH’s CEO communicates to the audit manager of CJI that the board would like to extend the association by awarding the audit contract but it would be dependent on the extension of a favor by Geoff whereby he would have to deli...

Violation of ethical standards in sharing client information1.In this scenario, the ethical requirements of the APES 110 are been violated because the professional ethics never permit the company to disclose any of the information that are gathered while auditing and security procedures regarding any client without his permission (Trevino and Nelson 2016). The Mortdale accounting company has organized audit of different public companies and f...

Engagement approach for auditing Local Pty LtdQ1) Type of engagements required and level of assurance needed on Audit of Management accounts for the year ended 30thJune 2017 As an audit manager for OEL, my role is to show whether the management accounts for Local Pty Ltd for the year ended 30th June 2017 reflect a true and fair position of the company. Three major assurances are ordered in the increasing level of rigor. They include...

Enron scandal and audit qualityAfter applying the applicable sub-standards of audit for concluding their performance on uncertainty in getting the assurance. It was analyse that the major stakeholders are open to risk. This includes the auditor as well. The base of the report is stakeholder analysis. The report provides the evaluation of the impact as the material misstatement is not identified. In the second part of the report concepts of APE...

The Importance of Ethics in Accounting and Auditing Discuss About The Trust General Public Accountancy Profession? APES 110 Code of Ethics for Professional Accountant is issued by the Accounting Professional & Ethical Standards Board Limited and is in effect from 1st July 2011. These codes and standards of ethics are issued to be followed by the professional accountants of Australia whether they are performing their professional services in...