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Accounting Mcqs

Which of the following statements is INCORRECT?

 (A)  An auditor may serve on the board of directors of an audit client.

 (B)  An auditor who is an immediate family member of the director of an audit client must not be assigned to the audit team.

 (C)  Purchasing goods from an audit client on normal commercial terms does not create a threat to the auditor’s independence.

 (D)  An auditor who was recently a director of an audit client must not be assigned to the audit team for that client.

Submitted By :Ali Uppal

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