ICAEW ARF · Chapter 11 · Question 4 of 10
An audit senior wants to continue working at home on a client's payroll file, which contains employees' names, salaries and bank details. Which action best complies with data protection law (UK GDPR) and the duty of confidentiality?
Test yourself: pick an answer
Reveal answer & explanation
Correct answer: C) Access the file only through the firm's secure, encrypted systems on a firm device, and use only the personal data needed for the audit work
Explanation
Personal data must be processed securely, protected against unauthorised access or loss, and limited to what is necessary for the purpose. Using the firm's encrypted systems and devices, and only the data needed for the work, meets these requirements and protects client confidentiality. Personal email accounts and unencrypted USB sticks expose the data to loss or interception, and personal data held in paper filing systems is still protected by data protection law.
More Confidentiality, money laundering and regulation MCQs
- Q6How should an employee of an accountancy firm report a suspicion of money laundering by a client?
- Q7Which of the following statements about the offence of failing to report money laundering by a person in the UK regulated sector is correct?
- Q8Under the Companies Act 2006, a firm can act as a statutory auditor only if it is registered with, and its audit work is monitored by, a…
- Q9An accountancy firm is asked to advise two clients who are competing to buy the same business. What is the most appropriate response?
- Q10An accountant learns the following facts about four different clients. In which situation does the client hold criminal property under the…