When an Auditor Is Approached to Perform an Audit for the First

question 9

Multiple Choice

When an auditor is approached to perform an audit for the first time, the auditor should make inquiries of the previous auditor. This is a necessary procedure because the predecessor may be able to provide the successor with information that will assist the successor in determining:

• A) whether the predecessor's work should be utilised.
• B) whether the company follows the policy of rotating its auditors.
• C) whether the predecessor's assessment of control risk has been high.
• D) whether the engagement should be accepted.

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Definitions:

Global Manager

A manager who is culturally aware and informed on international affairs.

Culture Shock

The experience of disorientation and stress resulting from encountering a foreign culture or way of life drastically different from one's own.

Culturally Aware

The understanding and respect of cultural differences and the ability to act effectively and appropriately with a variety of cultural situations.

Cultural Intelligence

The ability to relate and work effectively across cultures, understanding and respecting cultural differences.