If a CPA prepares a few sales invoices on behalf of an audit client without charge because the client does not want to have to pay overtime to the workers who normally perform this task,the CPA's independence is:

Question

Quizplus · Accepted Answer

The CPA's independence is impaired due to the self-review threat. The CPA has essentially performed a management function by preparing sales invoices on behalf of the audit client, which creates a self-review threat because the CPA is now reviewing their own work. This threatens the independence of the CPA and compromises their ability to provide an objective opinion on the financial statements.

If a CPA Prepares a Few Sales Invoices on Behalf