What is the management participation threat?
The management participation threat is the threat that a member will take on the role of client management or otherwise assume management responsibilities, such may occur during an engagement to provide non-attest (non-audit) services. A CPA should never act on behalf of management!
You might also be interested in...
-
What are some examples of the advocacy threat?
The advocacy threat is the threat that a member will promote a client’s interests or position to the point that his or her objectivity or independence is compromised. Some examples include:
-
What are some examples of the adverse interest threat?
The adverse interest threat is a threat that a member will not act with objectivity because the member’s interests are opposed to the client’s interests. Examples of adverse interest threats include the following:
-
What are some examples of the familiarity threat?
The familiarity threat is the threat that, due to a long or close relationship with a client, a member will become too sympathetic to the client’s interests or too accepting of the client’s work or product. Examples of familiarity threats include the following: