Which of the following is a typical consequence to a PA or PA firm if practice inspectors find any files or quality control procedures to be unsatisfactory? The PA
A)will lose the right immediately to conduct audit engagements.
B)will no longer be allowed to sign audit reports for a period of time (such as a year).
C)may be required to revise processes or attend training courses.
D)will be required to rewrite the professional qualification examinations.

Question

Quizplus · Accepted Answer

If practice inspectors find any files or quality control procedures to be unsatisfactory, the PA may be required to revise processes or attend training courses to improve the quality of their work. Losing the right to conduct audit engagements or being barred from signing audit reports would be severe consequences and are unlikely to occur without repeated and serious violations. Rewriting professional qualification examinations is not an applicable consequence in this scenario.

Which of the Following Is a Typical Consequence to a PA