SECTION 5 INDEPENDENCE AND OBJECTIVITY This section of our proposal responds to your request for specific information pertaining to our firm's independence and objectivity. It provides information on our philosophy and practice with respect to independence and objectivity and, specifically addresses the requirements for information outlined in the Request for Proposal, Sections III-B and III-F. Independence and Our dedication to independence and In our record dating from the earliest days of our firm. earliest engagements we showed a strong unwillingness to be swayed from independence and objectivity. We believe inde pendence is an essential quality of our profession. Its attributes are courage, freedom from outside influences, and absence of actual or presumptive bias. It is not only required that there be entertained no affiliations or influencing factors that might affect the exercise of good, impartial judgment, but continuous attention to those attributes which enhance the professional stature of the accountant as one whose principal motivation is to serve the public. 5-1 We believe the fundamental characteristic that distinguishes the public accountant from other professionals Without independence, technical competence, is independence. no matter how excellent, will not protect the public's interest. A public accountant must be unbiased. He must not allow his judgment to be influenced by external influences or by the hopes of personal gain; otherwise, the public's confidence in the professional's opinion and judgment will be seriously undermined. If the public accountant's professional performance leads to a question of his independence or objectivity, his ability to function effectively will be severely damaged. The influences of circumstances and pressures on the public accountant are enormous, though often subtle. The public accountant must be on constant guard to insure they do not color his judgment. We believe that when a profession places strict business considerations above professional considerations, the public suffers, and the public will ultimately, with justice, hold that professional group responsible for betraying the trust placed in it. Today, business, government, and the public at large are all increasingly concerned with ethical principles and are demanding ever higher standards of conduct in those who serve the public. We are proud to say that we recognize and respond to that demand. We are the only major public accounting firm which makes public disclosure of its financial statements. The public trust is a serious matter with our firm. Independence or objectivity is like any other subject, one that must be approached from the standpoint of merit and common sense. In any audit, tax or administrative services engagement or in special work of any type that we undertake, our position is always to objectively resolve issues on the basis of merit. Constant attention to understanding and con- Quality control. The same high ethical standards and requirements for independence that apply to the practice of public accounting in general are applicable to all aspects of our practice. We undertake only those engagements for which we can provide useful and valuable services, and we do not hesitate to This bring the entire experience of the firm to bear on clients' problems, regardless of the location of our personnel. approach helps us to take a creative, constructive and objective approach to our work. During the course of our relationship with each client, we endeavor to maintain a continuing, close dialogue with the client in order to be aware of the client's needs as they evolve and to assure that we are providing constructive, responsive service to those needs. This helps ensure that our work is efficient and that our recommendations are sound and practical. Responses to Specific Following is our response to the heretofore unaddressed requirement for information outlined in the Request for Pro posal: Requirement III-B-1. Descriptions of work in process |