Which of the following is true? Multiple Choice The existence of generally accepted accounting principles (GAAP) eliminates the need for professional Judgment except in very unusual circumstances. Federal securities laws regarding the issuance of misleading financial statements apply not only to the independent auditors, but to management of the company as well. Attaining a passing score on the part of the Uniform Certified Public Accountant (CPA) Examination that covers professional ethics is evidence of integrity and commitment to ethical conduct. A professional accountant should resign his position rather than become involved in the distribution of financial statements indicating insolvency.