When CPAs are able to maintain their actual independence, it is referred to as independence in

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Independence in fact means that CPAs are able to maintain their actual independence, which encompasses the mindset and state of being objective and impartial. This means that there is no inappropriate financial or non-financial relationship between the CPA and the client, and that the CPA is able to exercise their professional judgment without any undue influence. Independence in conduct, on the other hand, refers to the actual behavior and actions that CPAs must take to remain independent, while independence in appearance refers to the perception of independence by an objective third party. Total independence is not a term typically used in the context of CPAs and their obligations to maintain independence.

When CPAs Are Able to Maintain Their Actual Independence, It