A member has been asked to cosign checks with a client employee while the company president is on vacation. Which statement about the application of the AICPA independence rules to this situation is correct

The correct answer is Because check-signing is a management function, independence is impaired.

This standard establishes conditions and procedures for complying with the requirements for professional independence in audit work.

Audit entity is the institution seen as a whole, that is, the independent auditor, whether natural or legal, including legal entities under the same management, such as consultancy and / or advisory bodies and, if applicable, other audit entities. network audit, operating in Brazil or abroad.

Network audit entity is one under common control, administration, corporate name or trade name, including by association.

Audited entity is one in which an audit entity performs audit work on the Financial Statements with the purpose of issuing an opinion or forming a judgment on them. When the audited entity is the issuer of shares traded on the stock exchange, the audited entity always includes its related entities.

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