Which of the following family relationships is most likely to impair a CPA's independence with respect to a particular audit client on which the CPA works as a "covered member"?
A) A close relative has a material investment in that client of which the CPA is not aware.
B) A cousin has an immaterial investment in the client of which the CPA is aware.
C) The CPA's father is president of the audit client.
D) The CPA's spouse participates in a savings plan sponsored by the client.
Correct Answer:
Verified
Q4: The AICPA Code of Professional Conduct derives
Q6: AICPA independence requirements suggest that a CPA
Q6: The communications between CPAs and their clients
Q7: ABC Company is audited by the Phoenix
Q8: The Rules portion of the AICPA Code
Q8: Financial interests of a CPA's nondependent children
Q9: A small CPA firm provides audit services
Q9: An immaterial loan from the CPA to
Q16: A CPA may receive a commission for
Q17: The American Institute of Certified Public Accountants
Unlock this Answer For Free Now!
View this answer and more for free by performing one of the following actions
Scan the QR code to install the App and get 2 free unlocks
Unlock quizzes for free by uploading documents