Hoki, an accountant, accumulates working papers while performing an audit for Insurance Corporation. After the audit, these documents belong to
A)the accountant, with the client having a right of access to the papers.
B)the client, with the accountant having a right of access to the papers.
C)the Public Company Accounting Oversight Board.
D)no one-the papers should be destroyed immediately after use.

Question

Quizplus · Accepted Answer

The working papers accumulated by an accountant during an audit are considered the property of the accountant. However, the client, in this case, the Insurance Corporation, has the right to access these papers. This is because the working papers are prepared by the accountant in the course of the audit service provided to the client, but they are part of the accountant's work product.

Hoki, an Accountant, Accumulates Working Papers While Performing an Audit