An Unacceptable Threat to Independence Occurs When a CPA Performs

question 61

Multiple Choice

An unacceptable threat to independence occurs when a CPA performs nonaudit services for an audit client unless the CPA:

• A) Assumes all management responsibilities
• B) Accepts management's responsibility for the services
• C) Evaluates the adequacy of the services
• D) Evaluates the results of the services

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Definitions:

Misinterpretations

Incorrect or misrepresented understanding of a message, situation, or intention.

Acceptance

The act of acknowledging reality or admitting the reality of something, often a situation or an aspect of one's self, without attempting to change it, protest, or exit.

Non-Intrusive

Not causing disruption or annoyance through being unwelcome or uninvited.

Transference Responses

Emotional reactions transferred to a therapist from other significant relationships in a patient's life, often explored in psychoanalytic therapies.