INDEPENDENCE- unbiased viewpoint in the performance of the examination and reparation of report

Phases

 Independence of mind
o Auditor’s perception of his own independence
o You are not in anyway related to your client
o It is not enough that you’re the only one who knows, the public should know
 Independence in appearance
o The public knows that the auditor is independent
o The audited FS is passed to SEC- can be seen by anyone

ITR- April, to give time to independent third party for auditing

Engagement period- the period of engagement starts when the assurance team begins to perform
assurance services and ends with assurance report is issued. EXCEMPTION: recurring services.

INCEPENDENCE REQUIREMENT

Different Assurance Engagements:

Member of Assurance Firm/Client Network Firm

Team
Audit or Review REQUIRED REQUIRED REQUIRED
Non- audit Assurance REQUIRED REQUIRED NOT REQUIRED
Non- audit Assurance REQUIRED NOT REQUIRED NOT REQUIRED
with restrictions

 The member of  Wala ka dapt  Kaibigan ng

the team kakilala sa frim mo,
should be client sinasabihan ka
independent na gandahan
from the opinion
client/dapat
wala kakilala if
meron dapat di
maapektuhan