In pursuing the audit firm's quality control objectives, the firm may maintain records indicating which partners or employees of the firm were previously employed by the firm's clients.Which quality control objective would this be most likely to satisfy?
A)Professional relationship.
B)Supervision.
C)Independence.
D)Advancement.

Question

Quizplus · Accepted Answer

This quality control objective would most likely satisfy the independence objective as it helps the audit firm to identify potential conflicts of interest or threats to independence that may arise if an individual who was previously employed by a client worked on an audit engagement for that same client. By maintaining records of previous client employers of partners or employees, the firm can ensure that individuals are not assigned to engagements where a threat to independence may exist.

In Pursuing the Audit Firm's Quality Control Objectives, the Firm