Question
A partner for a multioffice CPA firm has a father who owns 90% of a potential audit client. The engagement would not be performed by
A partner for a multioffice CPA firm has a father who owns 90% of a potential audit client. The engagement would not be performed by an office with which the partner is associated. The partner would not provide any services to the client as a member of the CPA firm but will work for the client as an outside consultant for the company XYZ in the summer when the CPA firm has little work. Regarding the AICPA CODE OF CONDUCT would the CPA firm or the partner be considered in violation for purposes of accepting the audit engagement? a. Yes. Rules regarding covered members will be violated b. Yes, but none of these answers, a-c, apply c. Yes. the AICPA rules that govern CPA firm employees will be violated d. No.
Step by Step Solution
There are 3 Steps involved in it
Step: 1
Get Instant Access to Expert-Tailored Solutions
See step-by-step solutions with expert insights and AI powered tools for academic success
Step: 2
Step: 3
Ace Your Homework with AI
Get the answers you need in no time with our AI-driven, step-by-step assistance
Get Started