Question
I will not only need to type in the correct letter of the answer (A,B,C,D) but also state the page and section number in the
I will not only need to type in the correct letter of the answer (A,B,C,D) but also state the page and section number in the code of conduct that supports my answer .
the book name is 'AICPA code of professional conduct' you can find it on google is free.
1. Which of the following statements best describes why the profession of public accounting has deemed it essential to promulgate a CPC and to establish a mechanism for
enforcing observance of the code?
a.A distinguishing mark of a profession is its acceptance of responsibility to the public.
b. A prerequisite to success is the establishment of an ethical code that stresses primarily
the professional's responsibility to clients and colleagues.
c. A requir
ement of most state laws calls for the profession to establish a code of ethics.
d. An essential means of self-protection for the profession is the establishment of flexible ethical standards.
2. The AICPA CPC states, in part, that a CPA should maintain integrity and objectivity. Objectivity in the code refers to a CPA's ability
a. To maintain an impartial attitude on all matters which come under the CPA's review.
b. To independently distinguish between accounting practices that are acceptable and
those that are not.
c. To be unyielding in all matters dealing with auditing procedures.
d. To independently choose between alternate accounting principles and auditing
standards.
3. Upon discovering irregularities in a client's tax return that the client would not correct,
a CPA withdraws from the engagement. How should the CPA respond if asked by the successor CPA why the relationship was terminated?
a. "It was a misunderstanding."
b. "I suggest you get the client's permission for us to discuss all matters freely."
c. "I suggest you ask the client."
d. "I found irregularities in the tax return which the client would not correct."
4.
A violation of the profession's ethical standards would most likely have occurred when a CPA
a. Purchased a bookkeeping firm's practice of monthly write-ups for a percentage of fees received over a three-year period.
b. Made arrangements with a bank to collect notes issued by a client in payment of fees
due.
c. Named Smith formed a partnership with two other CPAs and used "Smith & Co." as
the firm name.
d. Issued an unqualified opinion on the 1987 financial statements when fees for the 1986audit were unpaid.
MULTIPLE CHOICE QUESTIONS - Ethics Note: \"CPC\" is short of \"Code of Professional Conduct\" Please refer to the posted Code of Professional Conduct document to answer the following questions. 1. Which of the following statements best describes why the profession of public accounting has deemed it essential to promulgate a CPC and to establish a mechanism for enforcing observance of the code? a. A distinguishing mark of a profession is its acceptance of responsibility to the public. b. A prerequisite to success is the establishment of an ethical code that stresses primarily the professional's responsibility to clients and colleagues. c. A requirement of most state laws calls for the profession to establish a code of ethics. d. An essential means of self-protection for the profession is the establishment of flexible ethical standards. 2. The AICPA CPC states, in part, that a CPA should maintain integrity and objectivity. Objectivity in the code refers to a CPA's ability a. To maintain an impartial attitude on all matters which come under the CPA's review. b. To independently distinguish between accounting practices that are acceptable and those that are not. c. To be unyielding in all matters dealing with auditing procedures. d. To independently choose between alternate accounting principles and auditing standards. 3. Upon discovering irregularities in a client's tax return that the client would not correct, a CPA withdraws from the engagement. How should the CPA respond if asked by the successor CPA why the relationship was terminated? a. "It was a misunderstanding." b. "I suggest you get the client's permission for us to discuss all matters freely." c. "I suggest you ask the client." d. "I found irregularities in the tax return which the client would not correct." 4. A violation of the profession's ethical standards would most likely have occurred when a CPA a. Purchased a bookkeeping firm's practice of monthly write-ups for a percentage of fees received over a three-year period. b. Made arrangements with a bank to collect notes issued by a client in payment of fees due. c. Named Smith formed a partnership with two other CPAs and used "Smith & Co." as the firm name. d. Issued an unqualified opinion on the 1987 financial statements when fees for the 1986 audit were unpaidStep by Step Solution
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