BU477 Chapter Notes - Chapter 2: Internal Control, Audit Evidence, Financial Statement
Document Summary
Chapter 2: the public accounting profession and audit quality. An overview of the canadian public accounting industry. Big four international firms: offices throughout canada and the world, and audit nearly all the largest companies in canada and worldwide, and many smaller companies too. National network firms: offices in most major cities; performs same services as big four and compete directly for clients. Small local firms: fewer than 25 professionals; do not perform audits and primarily perform reviews and compilations along with accounting and tax services; if they perform audits, they"re primarily for smaller businesses, municipalities, and not for profit orgs. Several professionals join together to practice as partners, offering audit and other services. Hierarchical nature of public accounting firms promote competence and high quality audits. Individuals at each level of audit supervise and review work of others at level below them in org structure. All work is reviewed (regardless of level) to ensure audit quality.
