ACCA · Question 52 · Professional ethics
SECTION B - SCENARIO 6 (Syllabus F)
'QuantumAudit' is an audit firm dealing with a highly lucrative client, 'SynBio'.
Task 1: SynBio makes up 40% of QuantumAudit's total annual revenue.
Task 2: The lead audit partner has been auditing SynBio for 12 consecutive years and plays golf with their CEO weekly.
Task 3: Because of the golf relationship, the audit partner ignores a glaring error in SynBio's inventory valuation.
Task 4: To fix the issue, QuantumAudit decides to rotate the lead audit partner off the SynBio account.
Which of the following correctly identifies the ethical concepts in Tasks 1 to 4?
Answer options:
1: Intimidation threat, 2: Self-review threat, 3: Breach of Confidentiality, 4: Safeguard created by legislation
1: Self-interest threat (Fee dependency), 2: Familiarity threat, 3: Breach of Objectivity, 4: Safeguard in the work environment
1: Self-interest threat, 2: Familiarity threat, 3: Breach of Integrity, 4: Safeguard created by the profession
1: Advocacy threat, 2: Intimidation threat, 3: Breach of Objectivity, 4: Safeguard in the work environment
52 questions · hints · full answers · grading
Expert