- 5 Marks
Question
Institute of Chartered Accountants, Ghana (ICAG) is established by the Institute of Chartered Accountants, Ghana, Act 2020 (Act 1058). Its mission is to train professional accountants of the highest quality, ready to provide cutting-edge services to their clients at all times, upholding the ethical values of the accountancy profession. In addition, all companies must have their financial statements audited by accountants regulated by ICAG as it is the sole regulator of the accountancy practice in Ghana.
Required:
i) Define the concept of self-regulation.
ii) Outline THREE (3) roles of a regulatory body such as ICAG in regulating the accountancy profession in Ghana.
Answer
i) Self-regulation is a system where the regulation of auditors is carried out by their own professional bodies, such as ICAG, instead of another governmental agency.
(2 marks)
ii) Role of ICAG in regulating the accountancy practice in Ghana:
- Offering professional qualifications for auditors to provide evidence that auditors possess a minimum level of technical competence.
- Establishing procedures to ensure that the professional competence of auditors is maintained by ensuring that audit work is performed only by fit and proper persons.
- Maintaining a list of registered auditors, which is made available to the public.
(3 marks)
- Tags: Accountancy profession, Audit, Ghana, ICAG, Regulatory Bodies, Self-regulation
- Level: Level 2
- Topic: Introduction to Audit and Assurance Engagements
- Series: DEC 2022
- Uploader: Theophilus