Impact of the Battle of Manila Bay to US

◦ It made US a major naval power in the beginning of the 20th century, establishing its might
as a powerful nation.

US at the Turn of 19th Century

◦ The US got actively involved in the game of imperialism and colonization!

◦ Spanish-American War; The Philippines-American War

Aftermath of the Battle of Manila Bay

◦ It was the start of American occupation in the Philippines, specifically by August, “and the
eventual transfer of the Philippines from Spanish to American control.”
◦ August 12, 1898
◦ Spain and the United States signed an armistice (protocol of peace), “directing five
Americans and five Spanish commissioners to meet in Paris to discuss peace terms
between US and Spain.”
US Government:
• Cushman Davis,
• William Frye,
• Whitelaw Reid,
• George Gray, and
• William D

Family and Personal Relationships

 Family and personal relationships between a

member of the audit team and a director, an officer or
certain employees, depending on their role, of
the audit client, may create self-interest, familiarity or intimidation threats.
Family and Personal Relationships

 Family and personal relationships between a

member of the audit team and a director, an officer or
certain employees, depending on their role, of
the audit client, may create self-interest, familiarity or intimidation threats.


When an immediate family member of a member of the audit team is:
(a) a director or officer of the audit client; or

(b) an employee in a position to exert significant influence over the preparation of the client’s
accounting records or the financial statements on which the firm will express an opinion,
the threats to independence can only be reduced to an
acceptable level by removing the individual from the audit team.
Impact of the Battle of Manila Bay to US

◦ It made US a major naval power in the beginning of the 20th century, establishing its might
as a powerful nation.

US at the Turn of 19th Century

◦ The US got actively involved in the game of imperialism and colonization!

◦ Spanish-American War; The Philippines-American War

Aftermath of the Battle of Manila Bay

◦ It was the start of American occupation in the Philippines, specifically by August, “and the
eventual transfer of the Philippines from Spanish to American control.”
◦ August 12, 1898
◦ Spain and the United States signed an armistice (protocol of peace), “directing five
Americans and five Spanish commissioners to meet in Paris to discuss peace terms
between US and Spain.”
US Government:
• Cushman Davis,
• William Frye,
• Whitelaw Reid,
• George Gray, and
• William D

Serving as a Director or Officer

of an Audit Client


If a partner or employee of the firm serves as a director or officer of an audit client, the self-review
and self-interest threats created would be so significant that no safeguards could reduce the threats
to an acceptable level.

Accordingly, no partner or employee shall serve as a director or officer of an audit client.

Family and Personal Relationships

 Family and personal relationships between a

member of the audit team and a director, an officer or
certain employees, depending on their role, of
the audit client, may create self-interest, familiarity or intimidation threats.


When an immediate family member of a member of the audit team is:
(c) a director or officer of the audit client; or

(d) an employee in a position to exert significant influence over the preparation of the client’s
accounting records or the financial statements on which the firm will express an opinion,
the threats to independence can only be reduced to an
acceptable level by removing the individual from the audit team.

Serving as a Director or Officer

of an Audit Client


If a partner or employee of the firm serves as a director or officer of an audit client, the self-review
and self-interest threats created would be so significant that no safeguards could reduce the threats
to an acceptable level.

Accordingly, no partner or employee shall serve as a director or officer of an audit client.


Therefore, none of the following shall have a direct financial interest or material indirect financial
interest in the client:

• a member of the audit team
• a member of that individual’s immediate family; or
• the firm


When an immediate family member of a member of the audit team is:
(e) a director or officer of the audit client; or

(f) an employee in a position to exert significant influence over the preparation of the client’s
accounting records or the financial statements on which the firm will express an opinion,
the threats to independence can only be reduced to an
acceptable level by removing the individual from the audit team.

Serving as a Director or Officer

of an Audit Client


If a partner or employee of the firm serves as a director or officer of an audit client, the self-review
and self-interest threats created would be so significant that no safeguards could reduce the threats
to an acceptable level.

Accordingly, no partner or employee shall serve as a director or officer of an audit client.