Question
A.The firm of Johns, Apple & co, CPAs, is the auditor of Alpha Corporation, a nonpublic company. The president of Alpha, Karen Lester, has been
A.The firm of Johns, Apple & co, CPAs, is the auditor of Alpha Corporation, a nonpublic company. The president of Alpha, Karen Lester, has been putting pressure on Sara, the audit partner, to accept a questionable accounting principle. She has even threatened to take steps to replace the CPA firm if he does not acquiesce.
Does this situation impair the CPA firm's independence? Explain your answer.
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Managerial Accounting
Authors: Kurt Heisinger, Joe Ben Hoyle
2nd edition
1453375723, 1453375724, 978-1453375716
