Choice "b" is correct. Before accepting an engagement, the auditor should make specific inquiries of
the predecessor auditor in order to assist the auditor in deciding whether or not to accept the
engagement.
Inquiry should include the predecessor's understanding of the reasons for the change in auditors.
Choice "a" is incorrect. The predecessor generally does not provide an opinion on events occurring
subsequent to the issuance of the audit report.
Choice "c" is incorrect. The successor (and not the predecessor) evaluates the consistency in the
application of GAAP. This evaluation occurs after acceptance.
Choice "d" is incorrect. The predecessor generally allows the successor to review audit
documentation related to matters of continuing accounting significance, but this occurs subsequent
to acceptance.
