Final answer:
It is true that in preplanning an audit, auditors must assess engagement team requirements and confirm the team and firm's independence to maintain the audit's credibility and avoid conflicts of interest.
Step-by-step explanation:
The statement is true. In order to properly preplan an audit, it is essential for the auditor to determine the engagement team requirements. This involves assessing the skills and resources needed to perform the audit effectively. Furthermore, ensuring the independence of the audit team and audit firm is paramount. Independence is a fundamental requirement as it allows the audit to be conducted impartially and without any potential conflicts of interest. Without independence, the credibility of the audit findings could be compromised, potentially affecting the stakeholders' trust in the audit report.