- Business Law
GAAS: Due Professional Care
The ten Generally Accepted Auditing Standards (GAAS) provide the foundation for all other auditing standards and interpretations.
What is the definition of the standard of "due professional care", and how might a court decide whether an audit firm met the standard?
Why is independence often considered the cornerstone of the auditing profession? Why were independence issues a primary concern of Congress when they developed the Sarbanes-Oxley Act?
The solution defines 'due professional care' foundation of GAAS and it also discusses the independence in the auditing profession. References are included.