Scenario
A partner in your accounting firm has reviewed a potential clients 10-K and has provided you with notes from the client interview. It is your role to conduct due diligence by going through the client suitability assessment to determine if the firm should accept the potential client as a new audit client.
Directions
Using the Client Suitability Interview provided in the Supporting Materials section below, complete the Client Suitability Assessment Template provided in the What to Submit section.
Specifically, you must address the following rubric criteria:
Apply due diligence to determine if the potential client is viable by performing the assessment. Include the following:
Economic factors
Financial factors
Identify risk factors that may require further research. Consider the following:
Cyberattacks
Offer an opinion on the suitability of the client based on AICPA standards. Include the following:
Pros
Cons
What to Submit