CPE & Events Catalog
Quality Management: Engagement Quality Reviews
SQMS No. 2, Engagement Quality Reviews, sets out requirements and guidance for firms to conduct an engagement quality (EQ) review. The standard also addresses the qualifications, eligibility, responsibilities, and appointment of an EQ reviewer.
The predecessor standard, SQCS No. 8, combined quality control policies with the engagement quality control review. SQMS No. 2 was issued separately to highlight the importance of the EQ review within a firm’s system of quality management.
SQMS No. 2 formalizes and strengthens the review process through clarified guidance and enhanced documentation requirements. It also distinguishes the responsibilities of the firm from those of the EQR reviewer, ensuring greater accountability and transparency.
The predecessor standard, SQCS No. 8, combined quality control policies with the engagement quality control review. SQMS No. 2 was issued separately to highlight the importance of the EQ review within a firm’s system of quality management.
SQMS No. 2 formalizes and strengthens the review process through clarified guidance and enhanced documentation requirements. It also distinguishes the responsibilities of the firm from those of the EQR reviewer, ensuring greater accountability and transparency.
Learning Objectives
- Recall the requirements of SQMS No. 1 and SQMS No. 2 related to engagement quality reviews.
- Recall the purpose for an engagement quality review and how the review enhances firm quality.
- Identify considerations for sole practitioners.
Highlights
· Recall the requirements of SQMS No. 1 and SQMS No. 2 related to engagement quality reviews.
· Recall the purpose for an engagement quality review and how the review enhances firm quality.
· Identify considerations for sole practitioners.
Event Level: Basic
Field of Study: Specialized Knowledge
Who Should Attend
· Sole proprietors of audit and assurance firms
· Responsible partners and staff at small- and medium-sized audit and assurance firms
· Engagement quality reviewers
Required Knowledge
None
