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You are a longtime auditor of Oval Tables Inc. In the last few days .pdf

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You are a longtime auditor of Oval Tables Inc. In the last few days of the fiscal year, the company had a change in CFO. The new CFO is your close friend from college. What would you now do? A) This is an inherent risk - something that the auditor cannot control, so ignore the change in the CFO B) Withdraw from the engagement, because the friendship can still impair your independence C) Increase the audit fees to prove your independence D) Keep the engagement, since the CFO has been in the company for only a few days, which is an immaterial length of time in a year.

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You are a longtime auditor of Oval Tables Inc. In the last few days of the fiscal year, the company had a change in CFO. The new CFO is your close friend from college. What would you now do? A) This is an inherent risk - something that the auditor cannot control, so ignore the change in the CFO B) Withdraw from the engagement, because the friendship can still impair your independence C) Increase the audit fees to prove your independence D) Keep the engagement, since the CFO has been in the company for only a few days, which is an immaterial length of time in a year

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  • 1. You are a longtime auditor of Oval Tables Inc. In the last few days of the fiscal year, the company had a change in CFO. The new CFO is your close friend from college. What would you now do? A) This is an inherent risk - something that the auditor cannot control, so ignore the change in the CFO B) Withdraw from the engagement, because the friendship can still impair your independence C) Increase the audit fees to prove your independence D) Keep the engagement, since the CFO has been in the company for only a few days, which is an immaterial length of time in a year