Application and Other Explanatory Material Scope of this ISA (Ref: Para. 1)

A1. Assurance engagements, which include audit engagements, may only be accepted when the practitioner considers that relevant ethical requirements such as independence and professional competence will be satisfied, and when the engagement exhibits certain characteristics. The auditorís responsibilities in respect of ethical requirements in the context of the acceptance of an audit engagement and in so far as they are within the control of the auditor are dealt with in ISA 220. This ISA deals with those matters (or preconditions) that are within the control of the entity and upon which it is necessary for the auditor and the entityís management to agree.