I’m working on a accounting discussion question and need an explanation and answer to help me learn.
The Sarbanes-Oxley Act of 2002 placed significant restrictions on the types of consulting that may be performed by auditors for public companies. Address the following in your discussion post:
- Briefly explain why these restrictions were put into place.
- List four types of services that are prohibited by the act.
- List three types of general consulting activities that would impair the auditor’s independence based on the American Institute of Certified Public Accountants (AICPA) Code of Professional Conduct.
Part 2
Analytical procedures are substantive procedures that may be used to provide evidence about specific accounts and classes of transactions. Address the following in your discussion post:
- Explain the different types of analytical procedures.
- Describe three major types of comparisons the auditor might make in performing analytical procedures.
- At what stages of the audit are analytical procedures performed, and what purpose do they serve at each stage?
0 comments