Forensic Accounting

Category - Professional Responsibilities and Management

If the nature of the work turns out to be against the scope of the engagement, then the practitioner should:
  1. Immediately distance himself from the engagement
  2. Seek an explanation from the client and discuss the matter with him
  3. Continue with the work, as the issue is immaterial
  4. Report to the authorities
Explanation
Answer: B - There are instances when the nature of the work may transcend the scope of the engagement determined prior to starting the project. In such a case, the practitioner should discuss the matter with the client and seek an explanation, and try to resolve the issue. If it does not work out well, then the practitioner should consider options such as distancing himself from the engagement.
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