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A few of the Essay and Assignment tackled on Auditing
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| | Essay on Can auditors remain truly independent when conducting an annual audit of financial statements if their firms provided non-audit service to audit clients? | | | The topic of this essay is “Can auditors remain truly independent when conducting an annual audit of financial statements if their firms provided non audit services to audit clients?" This topic has been researched well and there are a number of facets of this question. This multifaceted problem needs to be explored further, especially in a historical context, taking into account the legislations passed and debated regarding the independence of auditors and the provision of non-audit services to audit clients. Firms often provide non-audit services to audit clients and this service have been challenged in the face of the threat to the independence of auditors. The US Congress, the Securities and Exchange Commission (SEC), the Public Oversight Board (POB), the American Institute of Certified Public Accountants are some of the governmental and non-governmental organizations that have been involved in framing laws to balance the situation. The rationale given is that there’s a perennial conflict between audit and non-audit services and it needs to be creased out. Time and again the efficacy of laws has been questioned. Literature review and case studies have been intensively explored to get the maximum information in this regard. In relation to the independence of auditors which is the standpoint of the credibility of the profession, there has been a multidimensional discussion. It has been appropriately concluded that so long as auditors provide non-audit services to audit clients, there will be at least an issue with respect to the appearance of independence. It has been counter argued that there may or may not be a check on external auditors. However, an auditor can maintain his integrity and honesty throughout if he wills so. An important aspect of this situation is the public interest that should necessarily be catered to. | |  |
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