Joint audits-advantages-disadvantages, Auditing

Assignment Help:

General advantages and disadvantages of joint audits

Advantages:

  • All work and fees are welcome to audit firms.
  • An opportunity to closely inspect the auditing methods of another firm.
  • The other firm may have special expertise which might fit well in a joint business.
  • The other firm may have geographical location possibilities which complement.
  • The other firm may be of such a size that a client company can be serviced which may otherwise be beyond available resources.
  • Flexibility of working arrangements with another firm may avert bottlenecks owing to staff shortage at peak times.

 

Disadvantages:

  • Shared legal responsibility. Liability for co-auditor's negligence.
  • Lack of control. The other firm may have different audit standards which may be unsatisfactory.
  • Any shared work or responsibility may lead to personality clashes.

 


Related Discussions:- Joint audits-advantages-disadvantages

Assignment, i have assignment question

i have assignment question

Share and deposits, Share and deposits Shares may consist of subscripti...

Share and deposits Shares may consist of subscription shares and paid up shares. Interest on shares might be credited to the accounts rather than being paid to ensure proper co

Providers of funds, Providers of Funds A further point to note is that ...

Providers of Funds A further point to note is that modern companies can be very large with multinational activities. Preparing accounts for such a group becomes a very complex

Auditors procedures after stock taking, Auditors Procedures After Stock Tak...

Auditors Procedures After Stock Taking It is particularly a follow up exercise and it includes: 1) Checking the cut off along with the details of last numbers of stock move

Evaluate the audit risk faced by each department, Problem: You are an a...

Problem: You are an auditor of a company which operates three large departmental stores at Grand Bay, Port Louis and Tamarin. You are preparing your audit plan and you are p

Statistical techniques-factors, Statistical techniques Factors to be ta...

Statistical techniques Factors to be taken into consideration before adopting statistical techniques: a) The number of clients to whom it is appropriate because set up costs a

History - true and fair, History - True and Fair International Standar...

History - True and Fair International Standards on Auditing (ISAs) make it quite clear that the terms 'true and fair' and 'present fairly' which are used in audit reports in m

Types of transaction - related party, Types of Transaction - Related Party ...

Types of Transaction - Related Party Fundamentally two types of transactions which arise between a related party and a company as: A. It is usual for members of a collectio

Auditors procedures during stock taking, Auditors Procedures During Stock T...

Auditors Procedures During Stock Taking The main task during stock taking is to ascertain where the client's employees are carrying out their commands properly. It is particul

Write Your Message!

Captcha
Free Assignment Quote

Assured A++ Grade

Get guaranteed satisfaction & time on delivery in every assignment order you paid with us! We ensure premium quality solution document along with free turntin report!

All rights reserved! Copyrights ©2019-2020 ExpertsMind IT Educational Pvt Ltd