When Dussault & Montgomery relies on Groves & Padden,another PA firm,to audit the Quebec subsidiaries of one of their audit clients,Dussault & Montgomery should
A)assess Groves & Padden's professional qualifications.
B)ask Groves & Padden to also sign the auditor's report.
C)send one of their auditors to Quebec to supervise the work being done by Groves & Padden.
D)issue a qualified opinion for the financial information pertaining to the Quebec subsidiaries.

Question

Quizplus · Accepted Answer

Dussault & Montgomery should assess the professional qualifications of Groves & Padden to ensure that the work done by them meets the necessary standards. This includes reviewing their qualifications, experience, knowledge, and independence, as well as their approach to the audit. This helps to ensure that the work done by Groves & Padden is reliable and can be used by Dussault & Montgomery. The other options are not necessary in this situation, as asking Groves & Padden to sign the auditor's report may not be appropriate or required, sending an auditor to supervise may not be cost-effective or practical, and issuing a qualified opinion is not necessary if Groves & Padden's work meets the necessary standards.

When Dussault & Montgomery Relies on Groves & Padden,another PA