Module 12

Question 1

role of FRC

Answer 1

act as competent authority for statutory audit
set UK and Ireland accounting standards
monitor and maintain UK corporate governance code
promote quality of corporate reporting
operating some independent disciplinary arrangements

Question 2

FRC issues

Answer 2

FRS
ISA
ethical standard
practice notes
bulletins

Question 3

approach to developing standards

Answer 3

development
consultation
governance and voting
publication

Question 4

process for FRC to investigate auditors

Answer 4

initial enquiries
investigation
tribunal
settlement

Question 5

IAASB

Answer 5

issues ISAs
set audit assurance and quality management
facilitate convergence of standards
appointed by IFAC board
no means to directly enforce

Question 6

IFAC

Answer 6

worldwide organisation for accountants

Question 7

IASB

Answer 7

issues IFRS
no means to directly enforce

Question 8

IFRS interpretations committee

Answer 8

reviews divergent/ unacceptable treatment within IFRS context

Question 9

IASB pronouncements

Answer 9

IFRS
discussion paper
exposure draft
publication

Question 10

IAASB pronouncements

Answer 10

ISAs, ISQMs
research and consultation
transparent debate
exposure for public comment
consideration of comments received
affirmative approval