2. Appointments
Questions
and Quality

3. RCA

4. RCA
Question
‘
What is the ACCA
guidance on
what to do when
1 accepting an
engagement?

5. www.aCOWtancy.com

6. ‘
Do you want this client?
Agree terms RCA
Send out in Answer
Engagement letter
www.aCOWtancy.com

7. RCA

8. RCA
Question
‘ What if you
consider the
ethical threats to
2
be insignificant?

9. www.aCOWtancy.com

10. ‘
Accept and set up
safeguards
Answer
RCA
www.aCOWtancy.com

11. RCA

12. RCA
Question
‘
What else must
you consider
before
3
accepting?

13. www.aCOWtancy.com

14. ‘
Your own competence
Answer
RCA
www.aCOWtancy.com

15. RCA

16. RCA
Question
‘
What procedures
must you carry
out on
4
acceptance?

17. www.aCOWtancy.com

18. ‘
Request to contact old
auditor
RCA
Discuss all info with old
auditor Answer
www.aCOWtancy.com

19. RCA

20. RCA
Question
‘
What if you dont
get a reply from
this etiquette
5
letter?

21. www.aCOWtancy.com

22. ‘
Send again by recorded
delivery
RCA
Answer
www.aCOWtancy.com

23. RCA

24. RCA
Question
‘What if the old
auditor tells you
there are
6 outstanding
fees?

25. www.aCOWtancy.com

26. ‘
It may be ok.
Just find out why Answer
RCA
www.aCOWtancy.com

27. RCA

28. RCA
Question
‘What goes into
the engagement
7 letter?

29. www.aCOWtancy.com

30. ‘
Scope & Objective
Responsibilities
Practical arrangements RCA
Answer
Form of communication
Fees
www.aCOWtancy.com

31. RCA

32. ‘
What if the terms
change?
RCA
Question
8

33. www.aCOWtancy.com

34. ‘
Issue new letter
Answer
RCA
www.aCOWtancy.com

35. RCA

36. RCA
Question
‘All client info
that the auditor
has must be
9 returned to the
client, unless..?

37. www.aCOWtancy.com

38. ‘
It’s under a lien
Answer
RCA
www.aCOWtancy.com

39. RCA

40. RCA
Question
10 ‘
What is a lien?

41. www.aCOWtancy.com

42. ‘
If you’re owed fees..
You can retain the
records Answer
RCA
www.aCOWtancy.com

43. RCA

44. RCA
Question
11
‘
What is a general
lien?

45. www.aCOWtancy.com

46. ‘
You can retain the
records
Until ALL fees are paid Answer
RCA
www.aCOWtancy.com

47. RCA

48. RCA
Question
12
‘ What is a
particular lien?

49. www.aCOWtancy.com

50. ‘
You can retain particular
records
If work performed and
fee agreed
Answer
RCA
www.aCOWtancy.com

51. RCA

52. RCA
Question
13
‘
Why have Quality
control?

53. www.aCOWtancy.com

54. ‘
Reduce Risk
Increase confidence in
our firm Answer
RCA
www.aCOWtancy.com

55. RCA

56. RCA
Question
14
‘
Give examples of
how leaders
enhance quality

57. www.aCOWtancy.com

58. ‘
Training
Meetings / briefings Answer
RCA
www.aCOWtancy.com

59. RCA

60. RCA
Question
15
‘
How does quality
effect planning?

61. www.aCOWtancy.com

62. ‘
People (trained)
Risk focussed work
RCA
Consult with experts Answer
Safeguards for
independence
www.aCOWtancy.com

63. RCA

64. RCA
Question
16
‘ What is a hot
review?

65. www.aCOWtancy.com

66. ‘
Review before report
issued
All listed companies RCA
Answer
Public interest
Risky
www.aCOWtancy.com

67. RCA

68. RCA
Question
16
‘ Why have a hot
review?

69. www.aCOWtancy.com

70. ‘
Quality of judgements
eg Independence, risks
RCA
Treatment of Answer
misstatements
Conclusions
www.aCOWtancy.com