User Account

All Pages

Identify and explain the threat to independence

Assignment Help Accounting Basics
Reference no: EM132736277

Question - Chris Pine is the audit partner in the Chartered Accounting firm of Pine & Associates, (PA). Chris has a substantial investment in Space Ltd, which has just put its audit for the year ended 30 June 2019 out to tender. On 31 October 2018 Chris has submitted a tender bid for the audit of Space.

REQUIRED -

(a) (i) Identify and explain the threat to independence.

(ii) Determine whether Chris would be able to accept the audit if he won the tender.

(iii) Explain whether your answer to (a) (ii) would change if it was Chris's spouse who held the shares.

(b) Explain whether the situation would be any different if, prior to submitting the tender, Chris placed the shares into a blind investment trust where he had no influence over the trust's investments.

(c) Explain whether the situation would be any different if after winning the tender, Chris disposed of his shares prior to commencing the audit.

Reference no: EM132736277

Questions Cloud

List three open-ended questions : The witness was working on the scaffolding with the injured worker. List three open-ended questions that you would ask the witness.
Identify any significant events or conditions : Identify any significant events or conditions that individually or collectively may cast significant doubt on SS's ability to continue as a going concern.
Simple balance scorecard for emergency service of teleaid : Of all the operations which have to respond quickly to customer demand, few have more need of speed than the emergency services.
What the company forecasted accounts receivable will be : For Q1-20, the company is forecasting 5% sequential growth and DSO 40 days. The company's forecasted accounts receivable will be
Identify and explain the threat to independence : Chris Pine is the audit partner in the Chartered Accounting firm of Pine & Associates, (PA). Identify and explain the threat to independence
Compute sales and marketing expense : Compute Sales & Marketing expense for Q2-20 by keeping same % of revenue. Revenue for Q4-19 is $125M and Sales & Marketing Expenses
What will the journal entry on given date : ABC Company buys a truck for $14,000 in April, 2016. In January 2017 they got repair work done on the truck for a total of $5,000 that they record.
What would be the total gross margin : If Q1-20 revenue is increased by 5%, what would be the total gross margin % in Q1-20 if incremental revenue in Q1-20 has 12% margin.
How much of a marriage penalty will they incur : Linda's 2020 taxable income as a single individual would be $212,000. When they marry before the end of 2020, how much of a marriage penalty will they incur

Reviews

Write a Review

Accounting Basics Questions & Answers

  How much control does fed have over this longer real rate

Hubbard argues that the Fed can control the Fed funds rate, but the interest rate that is important for the economy is a longer-term real rate of interest.   How much control does the Fed have over this longer real rate?

  Coures:- fundamental accounting principles

Coures:- Fundamental Accounting Principles: - Explain the goals and uses of special journals.

  Accounting problems

Accounting problems,  Draw a detailed timeline incorporating the dividends, calculate    the exact Payback Period  b)   the discounted Payback Period. the IRR,  the NPV, the Profitability Index.

  Theory of interest - term structure of interest rates

Term Structure of Interest Rates

  Write a report on internal controls

Write a report on Internal Controls

  Prepare the bank reconciliation for company

Prepare the bank reconciliation for company.

  Cost-benefit analysis

Create a cost-benefit analysis to evaluate the project

  Theory of interest

Theory of Interest: NPV, IRR, Nominal and Real, Amortization, Sinking Fund, TWRR, DWRR

  Liquidity and profitability

Distinguish between liquidity and profitability.

  What is the expected risk premium on the portfolio

Your Corp, Inc. has a corporate tax rate of 35%. Please calculate their after tax cost of debt expressed as a percentage. Your Corp, Inc. has several outstanding bond issues all of which require semiannual interest payments.

  Simple interest and compound interest

Simple Interest, Compound interest, discount rate, force of interest, AV, PV

  Capm and venture capital

CAPM and Venture Capital

Free Assignment Quote

Assured A++ Grade

Get guaranteed satisfaction & time on delivery in every assignment order you paid with us! We ensure premium quality solution document along with free turntin report!

Submit Assignment

Academics

Major Subjects

Majors

Get In Touch

whatsapp: +1-415-670-9521

Phone: +1-415-670-9521

Email: [email protected]

TERMS & POLICIES

HELP & SUPPORT

All rights reserved! Copyrights ©2019-2020 ExpertsMind IT Educational Pvt Ltd