You have received a request form XYZ Ltd. to accept an appointment as their auditor for the financial year ending 31 December 2001.Required:State why it is important for an incoming auditor to hold consultations with the outgoing auditor

It is important for an incoming auditor to hold consultations with the outgoing auditor because: –
i) It is a matter of professional courtesy
ii) To enable him to obtain all the pertinent matters relevant to the audit from the outgoing auditors. This includes issues which would influence his decision as to whether or not to accept the appointment. The outgoing auditor will be able to provide information such as the reasons behind their removal as auditors of the company. Scuh information will be useful in deciding whether to accept the appointment or to decline.

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You have received a request form XYZ Ltd. to accept an appointment as their auditor for the financial year ending 31 December 2001. Required: Explain the preliminary procedures you would carry out upon your appointment
You have received a request form XYZ Ltd. to accept an appointment as their auditor for the financial year ending 31 December 2001. Required: Why is it important for the auditor to hold discussions with the client‘s senior staff?
You have received a request form XYZ Ltd. to accept an appointment as their auditor for the financial year ending 31 December 2001. Required: Why is it important for the auditor to hold discussions with the client‘s senior staff?
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Important principles of the above maxim
During the course of an audit, the auditor attempts to obtain sufficient relevant and reliable evidence to provide the satisfaction that the financial records are completed and accurate. One of the ways that the auditor obtains satisfaction is to select representative samples of transactions and balances for detailed testing, such samples being made using either statistical of non-statistical methods .Required:Describe the main factors which influence the auditor in determining the size of the sample he will use for his detailed testing
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You are an audit senior in a firm of practicing accountants and your manager has gone out for an urgent meeting with a partner. Mr. Charo, a manager with Charo and Company, a wholesale business has come to your office with a request that your firm becomes their auditors;Describe to Mr. Charo the legal, ethical and practical factors your firm would consider before accepting the appointment

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You have received a request form XYZ Ltd. to accept an appointment as their auditor for the financial year ending 31 December 2001.Required:State why it is important for an incoming auditor to hold consultations with the outgoing auditor

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