Independence is assessed in the eyes of external users and regulators.Which of the following is a tool that helps the auditor identify whether the auditor is independent for a particular audit engagement?
A)completion of independence forms at time of employment
B)an independence threat analysis
C)an audit risk model assessment for each engagement
D)professional skepticism when assessing control risks

Question

Quizplus · Accepted Answer

An independence threat analysis is a tool used by auditors to identify if there are any threats to their independence for a particular audit engagement. This analysis helps auditors to evaluate and manage any perceived or actual threats to their independence which in turn helps them to maintain their objectivity and credibility while conducting the audit. A completion of independence forms at the time of employment could be helpful in identifying any potential conflicts of interest, but it may not fully address independence threats that may arise during the course of the audit engagement. An audit risk model assessment and professional skepticism are important aspects of the audit process but do not directly relate to identifying independence threats.

Independence Is Assessed in the Eyes of External Users and Regulators.Which