Auditing And Assurance Services
17th Edition
ISBN: 9780134897431
Author: ARENS, Alvin A.
Publisher: PEARSON
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Question
Chapter 4, Problem 30C
To determine
State if each of the situations violates “AICPA’s code of professional conduct”.
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Students have asked these similar questions
Who among the following is not a "covered member" for purposes of the Sarbanes CPA firm's audit of Oxley Corporation?
Nancy, who is on the attest engagement team.
O Nin, who is a tax manager in the firm's office that houses the audit team for the Oxley Corporation engagement.
O Sarbanes CPA firm itself.
O Juan, who is Nancy's direct supervisor.
Kar, CPA, is a staff auditor participating in the audit engagement of Fort, Inc. Which of the following circumstances impairs Kar's independence?
A. During the period of the professional egagement, Fort gives Kar tickets to a football game worth $75.
B. Kar owns stock in a corporation that Fort's 401(K) plan also invest in.
C. Kar's friend, an employee of another local accounting firm, prepares Fort's tax returns.
D. Kar's sibling is an internal aditor employed part-time by Fort.
Assume that after completion of all fieldwork on the audit of Andler Company, but prior to issuance of the audit report, the senior on the engagement informed the engagement partner that he just discovered that his wife has an immaterial investment in Andler Company stock. Which of the following is most accurate as to AICPA Code of Professional Conduct requirements?
Multiple Choice
The CPA firm must resign the engagement.
No action is necessary since he was unaware of his wife’s investment while performing the audit.
The CPA firm should evaluate the significance of the breach on the engagement team’s integrity, objectivity and professional skepticism and ability to issue an audit report and then take proper action.
The senior’s performance on the audit should be reviewed by the engagement partner to determine that the work performance was acceptable.
Chapter 4 Solutions
Auditing And Assurance Services
Ch. 4 - Prob. 1RQCh. 4 - Describe an ethical dilemma. How does a person...Ch. 4 - Prob. 3RQCh. 4 - Prob. 4RQCh. 4 - Prob. 5RQCh. 4 - Prob. 6RQCh. 4 - Prob. 7RQCh. 4 - Prob. 8RQCh. 4 - Prob. 9RQCh. 4 - Prob. 10RQ
Ch. 4 - Prob. 11RQCh. 4 - Prob. 12RQCh. 4 - Prob. 13RQCh. 4 - Prob. 14RQCh. 4 - Prob. 15RQCh. 4 - Prob. 16RQCh. 4 - Prob. 17RQCh. 4 - Prob. 18.1MCQCh. 4 - Prob. 18.2MCQCh. 4 - Prob. 18.3MCQCh. 4 - Prob. 19.1MCQCh. 4 - Prob. 19.2MCQCh. 4 - Prob. 19.3MCQCh. 4 - Prob. 20.1MCQCh. 4 - Prob. 20.2MCQCh. 4 - Prob. 20.3MCQCh. 4 - Prob. 21DQPCh. 4 - Prob. 22DQPCh. 4 - Prob. 23DQPCh. 4 - Prob. 24DQPCh. 4 - Prob. 25DQPCh. 4 - Prob. 26DQPCh. 4 - Prob. 27DQPCh. 4 - Prob. 28DQPCh. 4 - Prob. 30CCh. 4 - Prob. 31CCh. 4 - Prob. 32C
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