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Problem 1: Which of the following are true statements regarding client acceptance and continuance?
CHOOSE ALL CORRECT ANSWERS
A. Once the client signs the engagement letter, the client cannot sue the auditor.
B. An engagement letter should be issued every year.
C. The auditor only needs to assess independence for new engagements.
D. If any threats to independence are identified, that auditor should not accept the engagement.
E. The independence requirement is met if the auditor does not own shares of the client.
F. If the client does not allow the new auditor to contact the predecessor auditor, it should not impact client acceptance.
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