The SEC approach to independence emphasizes independence in fact and appearance in all of the following ways except:
A) Proscribing certain financial interests in an audit client.
B) Whether a conceptual framework approach is used for evaluating ethics violations
C) Restricting certain nonauditing services to audit clients.
D) Subjecting all auditor conduct to a standard of independence.

Question

Quizplus · Accepted Answer

The SEC approach to independence emphasizes independence in fact and appearance in all of the ways mentioned except for whether a conceptual framework approach is used for evaluating ethics violations. The SEC emphasizes prohibitions on certain financial interests, restrictions on non-audit services, and subjecting auditor conduct to a standard of independence.

The SEC Approach to Independence Emphasizes Independence in Fact and Appearance