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While Auditing the Books of PureCare Co

Question 47

Multiple Choice

While auditing the books of PureCare Co., Rizza becomes aware of information indicating an illegal act within the company. Rizza must:


A) determine whether an illegal act occurred and, if it did, the possible effect on PureCare's financial statements.
B) notify the SEC immediately so it can conduct an investigation.
C) resign as auditor immediately to avoid criminal liability.
D) notify local law enforcement and remove himself from any association with PureCare .

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