Question 1

Section A

"CryptoAccountants" is a small firm specializing in local retail businesses. They are offered a highly lucrative contract to audit a decentralized finance (DeFi) cryptocurrency exchange. The partners accept the job immediately, despite having no staff who understand blockchain technology or crypto regulations.

Which IFAC fundamental principle has the firm breached by accepting this engagement?

Accepted Answer

Identify the missing element: the firm lacks the knowledge and skills (competence) to do the job.

Question 2

What mistakes do candidates make on this ACCA question?

Accepted Answer

Choosing Integrity, assuming it is 'dishonest' to take the job. The specific technical breach is Competence.

How to approach this question

Full Answer

Common mistakes

Practice the full ACCA BT — Business & Technology Practice Exam 3

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