CAF-8 · Chapter 2 · Question 1 of 10
Before accepting a new audit engagement, the auditor must establish if the 'preconditions for an audit' are present. Which of the following is a precondition?
Test yourself: pick an answer
Reveal answer & explanation
Correct answer: B) Establishing if the financial reporting framework to be used is acceptable.
Explanation
According to ISA 210, establishing the acceptability of the financial reporting framework is a core precondition, alongside obtaining management's agreement to its responsibilities.
More Obtaining an Engagement MCQs
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