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• Read the article about international auditing standards. • For each question 31-40, write one word in CAPITAL LETTERS on your
• Read the article about international auditing standards. • For each question 31-40, write one word in CAPITAL LETTERS on your
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2010-01-28
86
问题
• Read the article about international auditing standards.
• For each question 31-40, write one word in CAPITAL LETTERS on your Answer Sheet.
International Auditing Standards
Generally accepted accounting principles are different all over the world. As a result, worldwide harmonization (31) auditing standards is made difficult. Besides, required qualifications for auditors also differ (32) different countries. While MNEs, audit firms, and governments attempt to standardize their practices (33) also permit the cross national transfer of audit, services there will still be obstacles to auditing. Although there are a number of obstacles in worldwide harmonization of auditing standards, there (34) a clear trend toward this harmonization. Internationalization of capital market is the driving force behind this trend, and its impact is quite evident.
International auditing standards encourage and assist developing nations (35) adopt codified sets of national auditing standards. Corresponding benefits in the evolution of domestic accounting standards in developing nations can (36) expected to flow from the work of the IASC. Many developing countries rely (37) a large extent on foreign investment, and foreign investors are more likely to channel funds into a developing country if they have confidence (38) the accounting and auditing standards used in that country. For example, countries such as China have adopted international accounting standards as they move capital pursuits.
When auditing standards are determined and set on a country-by-country basis, financial statement users may be confused (39) the proliferation of different national auditing standards. In the extreme, in those countries which lack adequate national auditing standards, there is a danger (40) users may place unwarranted reliance on an entity’s audited financial statements.
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