EVALUATING THE NEW ICANZ CODE FO ETHICS IN TERMS OF AUDITOR INDEPENDENCE: LOW-BALLING

EVALUATING THE NEW ICANZ CODE FO ETHICS IN TERMS OF AUDITOR INDEPENDENCE: LOW-BALLING

An audit is done to confirm that the financial statements are a true and fair view. The auditor is asked to use their best judgement and to state an opinion as to whether the financial statements reflect a true and fair view of the financial health of the entity. The audit is not just a statutory regulation. It also confirms that management is taking due care with stakeholders monies and confirms that accountability is taking place.

There is a lot of emphasis placed upon the audit. It must show a high level of assurance to the opinion stated. The more effort and funds that go into the audit, the greater the assurance (Pratt and Van Peuresm 1999). This is what enhances the value of the opinion.

The new Code of Ethics (2002) has been developed and reviewed to help increase the level of confidence in the auditor¡¦s opinion. It is also in the Public Interest. The Code of Ethics (2002) identifi...