ACCA Audit and Assurance (F8) Practice Exam 2026 – The Complete All-in-One Guide to Achieve Exam Success

In an assurance engagement, the nature of the relationship is characterized as a three-party relationship. This involves the practitioner (the auditor), the responsible party (the entity being audited), and the intended users of the report (which may include shareholders, regulators, or the public).

The assurance provider delivers an opinion or report on a specific subject matter, which is the responsibility of the entity being assessed. This report is ultimately meant to serve the needs of the intended users who rely on it to make informed decisions. This triad of roles distinguishes assurance engagements from other types of professional services and emphasizes the importance of accountability, transparency, and trust in the financial reporting process.

Understanding this three-party dynamic is crucial for grasping the scope and responsibilities entailed in assurance engagements, as it ensures that the interests of all parties—those who prepare the information, those who assess it, and those who use it—are adequately addressed.