Before accepting an engagement, the auditor should identify special circumstances and unusual risks. Which of these conditions is not directly part of a review of such a circumstance or risk?
A) reviewing industry and economic data.
B) identifying intended users of the audited financial statements.
C) assessing a prospective client's legal and financial stability.
D) evaluating the entity's auditability.

Question

Quizplus · Accepted Answer

The Answer of Before accepting an engagement, the auditor should identify special circumstances and unusual risks. Which of these conditions is not directly part of a review of such a circumstance or risk?
A) reviewing industry and economic data.
B) identifying intended users of the audited financial statements.
C) assessing a prospective client's legal and financial stability.
D) evaluating the entity's auditability.

Before Accepting an Engagement, the Auditor Should Identify Special Circumstances