A basic objective of a CPA firm is to provide professional services that conform to professional standards. Reasonable assurance of achieving this basic objective is provided through

Question

Quizplus · Accepted Answer

A system of quality control provides reasonable assurance that a CPA firm's professional services conform to professional standards. It includes policies and procedures for ensuring that the firm's personnel comply with professional standards and applicable regulatory and legal requirements. Quality control also involves monitoring and evaluating the effectiveness of the firm's policies and procedures and taking corrective actions as necessary. Both compliance with generally accepted reporting standards and continuing professional education are important aspects of a CPA firm's quality control system, but they alone do not provide reasonable assurance of achieving the basic objective. Peer review is a component of a quality control system, but only serves to review the firm's compliance with its established quality control policies and procedures.

A Basic Objective of a CPA Firm Is to Provide