Problem:
The collective goal among auditors and staff is accountability, good governance, and transparency. Cooperation is necessary to perform an effective and efficient audit. For this discussion, you are an auditor for an auditing firm. The previous auditor assigned to the client quit. You have been brought in to the assignment mid-way through the audit and the staff is not being cooperative. Describe the role of management with respect to the financial statements and the test of controls effectiveness and operation. Assess the requirements and restrictions regarding the use of internal audit personnel. Explain the impact of the previous auditor's refusal to provide a reason why he or she resigned from the potential client or why he or she refuses to meet with the new auditor when the staff at the company is not cooperating.