CPA PEP Prep Q&A

Assurance

 
Picture of Pheba Varghese
Assurance
by Pheba Varghese Send a message - 3 May 2017, 10:43 AM
 

Can the auditor of the parent company act as the auditor of one of the subsidiary company too? 

 
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Picture of Madia Jeddi
Re: Assurance
by Madia Jeddi Send a message - 7 May 2017, 7:46 PM
 

No the auditor from parent company can not audit the subsidiary as there will be conflict of interest.  

Regarda,

Madia

 
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Picture of Pheba Varghese
Re: Assurance
by Pheba Varghese Send a message - 7 May 2017, 9:57 PM
 

Thank you Madia! :) 

 
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Picture of Abbas Hassan
Re: Assurance
by Abbas Hassan Send a message - 2 Jun 2017, 10:37 AM
 

Hi Madia,

Could you point out to which CAS would this pertain to?

Thanks

Abbas

 
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Picture of Ali Maksoud
Re: Assurance
by Ali Maksoud Send a message - 19 Nov 2017, 5:52 PM
 

I do believe so. As he is the auditor of the parent company, he can act as auditor of the subsidiary if either the parent company delegates him/her to audit the subsidiary or the subsidiary engages him/her

 
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