The Auditor Should Regularly Evaluate Clients in Respect of Specified

question 19

Multiple Choice

The auditor should regularly evaluate clients in respect of specified events to determine whether to continue the relationship.Which of the following is not a specified event that should prompt an evaluation?

• A)The expiration of a time period.
• B)A significant change in the business.
• C)A change in the audit partner.
• D)The existence of conditions that would lead that auditor to reject a client had those conditions existed at the time of the initial acceptance of the audit engagement.

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Definitions:

Pathological Societies

Societies characterized by social norms or behaviors that are destructive or dysfunctional for the community or its members.

Forced Division

The artificial separation of people or groups by imposed barriers or criteria, often with negative connotations.

Labor

Human effort, either physical or mental, expended in the production of goods and services.

Mechanical Solidarity

A concept developed by Émile Durkheim describing the social cohesion and integration that arises in societies with a simple division of labor, where individuals perform similar tasks.