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Which of the Following Statements Is True? the CPA Firm

Question 63

Multiple Choice

Which of the following statements is true? The CPA firm will lose its independence if:


A) a staff auditor providing audit services to the client acquires stock in that client.
B) a staff tax preparer who provides 15 hours of non-audit services to the client acquires stock in that client.
C) an audit manager in an office different than the office providing audit services has a direct, immaterial financial interest in the audit client.
D) a covered member has an indirect, immaterial financial interest in an audit client.

Correct Answer:

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