Ethical & Independence Requirements Flashcards
A6 M8
According to SOX Title II, Auditor Independence, the lead audit partner must rotate off the audit every ___ years.
5
According to SOX Title I, Public Company Accounting Oversight Board, audit documentation must be maintained for ___ years.
7
According to the SEC, other audit partners should rotate off the audit engagement after no more than ___ years.
7
According to the SEC, lead partners & concurring partners subject to a ___ year “time-out” period before returning to an engagement.
5
Under SEC rules, covered persons include the audit engagement team & individuals within the audit chain of command–including any other partner, principal, shareholder, or managerial employee of the firm who provided ___ or more hours of non-audit services.
10
A cool-off period of ___ year is required before a member of an issuer’s audit engagement team may begin working for a registrant in a key position.
1
The PCAOB will conduct annal inspections of registered public accounting firms that regularly provide audit reports for more than ___ issuers.
100
Independence is considered impaired if a covered member’s aggregate outstanding balance from consmer loans has a balance greater than ___ after payment of the most recent monthly statements made by the due date or within any available grace period.
10,000
According to the AICPA Code of Professional Conduct, a firm engaged to provide attest services to the public must be owned by greater than ___ of CPAs.
50%
Auditors of nonissuers must maintain audit documentation for at least ___ years from the report release date.
5
Auditors of nonissuers must assemble final audit documentation within ___ days following the report release date.
60
Auditors of nonissuers must assemble final audit documentation within ___ days following the report release date.
14
