An attitude that includes a questioning mind and a critical assessment of audit evidence, especially in areas like fair value estimates, impairment provisions, and complex accounting areas.
When total fees from client are "large proportion" of firm's fees, creates self-interest/intimidation threat. Similarly, for engagement partner or office of firm. Significance of threat depends on various factors, e.g. whether firm is well-established or new/growing. Safeguards: reducing dependency (growth in fee base), not undertaking engagement at all. "Large proportion of fees" where expect to regularly exceed: 10% for a PIE, 15% for a non-listed entities. Consult with Ethics Partner where 5-10% for PIE, and review threats.