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To establish standards on quality control for procedures of my accounting

office, in general and for the work delegated to assistants on an individual basis.


1. As to Professional Requirements – The proprietor and personnel of the

accounting office should adhere to the principles of Independence,
Integrity, Objectivity, Confidentiality, and other ethical standards

2. Skills and Competence – The proprietor and the personnel should have
attained and maintain their technical standards, professional competence
and exercise due care

3. Assignment – accounting and/ or audit work must be assigned to

personnel who are highly proficient and have the required training.

4. Delegation - there has to be sufficient direction, supervision and review of

work at all levels to ensure that standards are met

5. Consultation - expert opinion, within or outside the accounting office can

be obtained.

6. Acceptance and retention of clients - an evaluation of prospective clients

and review of existing clients must be conducted

7. · Monitoring - of the adequacy and effectiveness of quality controls.


My accounting office’s general quality control policies and procedures are

to be communicated to its personnel in a manner that provides reasonable
assurance that the policies and procedures are understood and implemented.

On Individual Client: Accounting/Audits should be conducted by

implementing those quality control procedures of the accounting office, which
apply to individual accounting/audits. Delegation, direction, supervision, review
and exercising due care are essential attributes

Direction to the assistants to whom work has been delegated is

necessary. It involves informing them about their responsibilities and
accounting/audit objectives. Accounting/Audit program is an important tool here.

Supervision includes the elements of direction as well as review. The

Proprietor/ personnel responsible for supervision must monitor the progress of
the accounting/audit, evaluate the competence of assistants, address significant
accounting and auditing questions raised and resolve differences of professional
judgment among the personnel.
Review of the work performed by each assistant, at least by the
Proprietor or a personnel of an equal level is necessary. The considerations while
reviewing are: the compliance with the accounting or audit program, adequate
documentation, resolving all significant matters, achievement of accounting or
audit objectives and arriving at consistent conclusions.

The audit plan and program, assessments of inherent and control risks,
documentation of audit evidence have to be reviewed on a regular basis.

The process of reviewing may involve requesting other personnel who

were not involved in the audit to perform certain additional procedures.

Selection of administrative and technical persons

- appoint a personnel responsible for administration of quality control

- appoint a personnel responsible for technical elements relating to

quality control

Determine level of authority of these persons and define reporting

- Persons should be of reasonably senior status with authority to
implement necessary action.

- Reporting should be to the Proprietor or management committee or

equivalent level.

Monitoring - My accounting office places a significant emphasis on

independent monitoring of all elements of a practice’s system of quality control.
To ensure adherence to and the effectiveness of the system of quality control my
practice should, where possible, apply and develop the following principles:

a. The Proprietor should be responsible for this supervisory review


b. competent senior person(s) should be trained to carry out this function;

c. person(s) currently involved in any of the elements of quality control

should not participate in the monitoring function;

d. the personnel in charge of this function should review all reports and
personally discuss the reports with the proprietor and appropriate

e. non adherence to the policies and procedures relating to quality control

will be reported to the proprietor or appropriate personnel;

f. non compliance by any personnel should be regarded within the

practice as failure to observe a proper standard of professional care,
skill or competence and be dealt with appropriately.