When performing a review service and the accountant becomes aware that fraud may have occurred, the accountant must withdraw from the engagement.

Question

Quizplus · Accepted Answer

During a review service, if an accountant becomes aware of possible fraud, they are not required to withdraw from the engagement automatically. Instead, they should discuss the matter with an appropriate level of management and consider the impact on the review, including whether it is necessary to report the matter to higher levels of management or those charged with governance.

When Performing a Review Service and the Accountant Becomes Aware