Assume the external auditor of a client entity also served on the client's board of directors. What aspect of independence would be violated?
A) The auditor may be exposed to an intimidation threat by the client
B) The auditor is involved in a business relationship with the client
C) The auditor serves in a management decision making position with the client
D) All of these

Question

Quizplus · Accepted Answer

Serving on the client's board of directors involves the auditor in management decision-making, compromising their independence.

Assume the External Auditor of a Client Entity Also Served