Copy and paste the following URL to view CableCO Video:https://stream.uky.edu/bbstream/acc403/acc403_CableCo_mca229/

Cable Co. Video Questionnaire

1.What are the professional, ethical, and business considerations in accepting a new client?Consider how the audit firm considers the client and itself. Your answer should include adiscussion of client business risk, auditor business risk and audit risk.2. In general, how does a public accountant obtain clients? BETWEEN 7-8 FACTORS3. Indicate why Cable Co. needs to engage a public accounting firm to perform a certified financialaudit of their financial statements and identify the reasons why any organization might desire acertified financial audit? (AT LEAST 3) What disincentives relating to an audit might deter theclient from seeking one? (AT LEAST 2)

4. Why is Cable Co. changing auditors and why, in general, might a company switch auditors?Alternatively, what characteristics of the auditor, client, and environment promote stability inthe auditor/client relationship? What are the advantages and disadvantages of long audittenures?

5. Suppose Mr. Stewart began pressing Ms. Bennett whether she would agree to the use of certainaccounting methods in hypothetical situations? What might this suggest to Ms. Bennett and howshould she respond? (SAS#50)

6. Identify specific risks associated with Cable Co. that came to light in the preliminary researchand proposal stage. Are there factors that mitigate this risk?7. What is contained in the proposal to the client (at least 5)?

8. Identify sources that audit personnel could use to gain knowledge about the clients industry?How is industry knowledge helpful to an auditor (at least 5)?Hows industry knowledge

helpful?9. Arnie, theCable Co.s controller was cool to the audit teamand particularly Steve Hollins. Whatabout the people, their roles, and this situation contributed to the interpersonal tension? What arethe implications for the auditors of poor relations with key personnel? In general, what can bedone to address such a problem?10. In Act I, we see signs of conflict between the Gayle Bennett and Steve Hollins. Describe thetension and analyze what might cause managers in a large public accounting firm to lock hornsand what might have contributed to the interpersonal tension? What are other sources ofconflict that might arise amongst the audit team?