AUDITING AND PROFESSIONAL PRACTICE

This paper considers several and determines whether they uphold the APES 110 laws or breach its provisions. a) Mortdale Accounting case Mortdale is guilty of breaching the principle of integrity, professional behavior, and objectivity. Carrying out peer review is good for auditing practice. However, the clients have rights to their accounting data and before they are shared with third parties for whatever course whatsoever, they must be contacted for their approval. b) Jan Dugong case The principle of integrity and professional competence provides that in the process of hiring new accountants, it is necessary to have a background check on the person. Moreover, it is important to appreciate that while Ernei might have sold the company, he is not selling the clients with the company and therefore he has no right to share their information with the buyer of the business (Zadek, Evans, & Pruzan, 2013, 3).

f) Fred Nerk case This case presents a breach of the principle of professional competence and due care. This principle provides that different individuals may be qualified differently and thus their experience and expertise may vary. Therefore, in cases where the same person offers the services of audit, management advisory, and tax services, there is a high likelihood of existence of bias, misleading results and conflict of interest. g) The Allgood chattered case This case illustrates a violation of the principle of confidentiality. These include qualified opinions, unqualified opinions, disclaimer of opinion and adverse opinion. This section provides for various auditing scenarios and the accurate auditing opinions. a) Unqualified opinion An unqualified opinion is given by an auditor when he can determine that the provided financial records do have any form of misrepresentation (Francis, & Yu, 2009, p.

In this case, despite the auditor being unable to get confirmations from the client’s key customers that were part of the audit sample, he has used other means within the law to confirm the audit report and thus satisfy the accuracy of the balances of the client’s accounts. b) Disclaimer of opinion A disclaimer opinion on an audit report is given by an auditor when he is unable to provide a complete and accurate audit report because of various reasons that include failure to disclose all relevant information by the client and lack of adequate financial records (Francis, & Yu, 2009, p. e) Disclaimer of Opinion A disclaimer opinion on an audit report is given by an auditor when he is unable to provide a complete and accurate audit report because of various reasons that include failure to disclose all relevant information by the client and lack of adequate financial records (Francis, & Yu, 2009, p.