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Mike & Co., CPAs is considering entering into a cooperative arrangement with T Corporation, an audit client. In which instance would the arrangement be prohibited
Mike & Co., CPAs is considering entering into a cooperative arrangement with T Corporation, an audit client. In which instance would the arrangement be prohibited under AICPA rules?
1. The arrangement involves a prime subcontractor relationship.
2. The arrangement would be a joint venture to create a new service.
3. The arrangement is not material to either party.
4. The arrangement is material to Mike but not to T Corporation.
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