New client investigation Assume that we have invited to submit our proposal to provide auditing service...

 

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New client investigation Assume that we have invited to submit our proposal to provide auditing service for Gaza Community Mental Health Programme (GCMHP) for the year ended December 31, 2019. I have perform the following procedures related to this invitation: 1. Communication with the predecessor auditor I have communicated the predecessor auditor who is one of the big four and I have informed that GCMHP was a good client and there is no disputes over accounting principles, audit procedures, fees, or/and others matters. 2. Identify client's reasons for audit. I have communicate the Financial Manager of the GCMHP and he informed me that they request the proposal for auditing service according to the GCMHP internal procedures. (The internal procedures required to change the auditor every three years) 3. Other information Total assets of the client amounted to U.S. $ 2.5 million Total fund during the year 2017 amounted to U.S. $ 1.5 million The main donors of the clients are European Commission (EC "currently EC funded a project titled "XYZ" for three years starting January 1, 2017", USAID, UNDP, and others. You are required to prepare a report of 1) new client investigation and 2) asses the acceptable audit risk. Your report should cover at least the below factors: • Asses our professional qualification • Accounting sector Reputation Board of director Integrity of management Going concern • Communication with the predecessor auditor New client investigation Assume that we have invited to submit our proposal to provide auditing service for Gaza Community Mental Health Programme (GCMHP) for the year ended December 31, 2019. I have perform the following procedures related to this invitation: 1. Communication with the predecessor auditor I have communicated the predecessor auditor who is one of the big four and I have informed that GCMHP was a good client and there is no disputes over accounting principles, audit procedures, fees, or/and others matters. 2. Identify client's reasons for audit. I have communicate the Financial Manager of the GCMHP and he informed me that they request the proposal for auditing service according to the GCMHP internal procedures. (The internal procedures required to change the auditor every three years) 3. Other information Total assets of the client amounted to U.S. $ 2.5 million Total fund during the year 2017 amounted to U.S. $ 1.5 million The main donors of the clients are European Commission (EC "currently EC funded a project titled "XYZ" for three years starting January 1, 2017", USAID, UNDP, and others. You are required to prepare a report of 1) new client investigation and 2) asses the acceptable audit risk. Your report should cover at least the below factors: • Asses our professional qualification • Accounting sector Reputation Board of director Integrity of management Going concern • Communication with the predecessor auditor

Answer rating: 100% (QA)

New client Investigation When as a Auditor we are accepting any audit weve to require care of some directions We have to research very first about the client Whether the client is a genuine and can we ... View the full answer