SECTION C
5. This is a statement on independence from the website of one of the Big 4 audit firms:
‘Reliable financial information is essential for the smooth running of the capital markets and the economy at large. The assurance we provide as auditors plays a vital role in building confidence. Maintaining our independence is fundamental to the quality of all our assurance services.’
Required
Discuss ‘auditor independence’ and the extent to which safeguards can be effective in protecting against threats to the independence of auditors.
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