Why is it important for an auditor to understand a clients business?

 

What part or parts of the United States government structure doyou see are most important for business owners and theiraccountants to understand?

The core values for this course are integrity and excellence.Applying the values of integrity and excellence, discuss ethicalconsiderations of accounting for business combinations in a mannerthat prevents misunderstanding in the questions below.

Business combinations have become animportant strategic move by corporations for variousreasons.

2. Discuss the various typesof businesscombinations.
4. Why may companies seek to engage in businesscombinations?

Discuss the importance ofunderstanding the GAAP behind business combinations beforeperforming the accounting. Additionally, why is it important thataccountants report the numbers as dictated by GAAP regardless ofwhat they may be?

1. Why is studying Auditing different from studying otheraccounting topics?

2. How might understanding auditing concepts prove useful forconsultants, business managers, and other business decisionmakers?

3.Discuss why there is a demand for auditing services in a free-market economy. what evidence suggests that auditing would bedemanded even if it were not required by government regulation?

4. What is meant by the statement, "The agency relationshipbetween absentee owners and managers produces a natural conflict ofinterest'?

5. Why is independence such an important requirement for forauditors? How does independence relate to the agency relationshipbetween owners and managers?