AUDITING ASSIGNMENT
All questions are independent of each other and each part of each question is independent of the other part so each part requires a separate answer.
QUESTION 1 Violation /Non Violation Ethical Principles
You are asked to review each of the following situations and state whether there has been a violation of the General Ethical Principles and if there has state which ethical principle has been violated. You are also asked to briefly state your reason for stating that there has/hasn't been a violation of the ethical principles .
1. Amy Harriss, Auditor, is an auditor for a chartered accounting firm during the day and has just been asked to be the treasurer of the local athletics club. The athletics club is a not for profit institution and Amy's firm does not audit the athletics club.
2. The Gordan Accountants carried out the Audit of Simtec Ltd from July 7th to the 2nd September 2016 and Simtec have advised Gordan Accountants that the final payment is dependent upon receiving an "appropriate " final report.
3. David Dale, a local accountant , has been contacted by the Cheap Insurance company to provide some potential clients and provides details of all his clients to the Cheap Insurance company who are paying David Dale a commission of 5% for each new client.