Which of the Following Statements About the Statements on Standards

question 83

Multiple Choice

Which of the following statements about the Statements on Standards for Tax Services is true?

• A)A CPA is never allowed to use a taxpayer's estimates when preparing a tax return.
• B)The CPA must tell the IRS upon becoming aware that an error has been made on a past tax return.
• C)The CPA may in good faith rely on information provided by the taxpayer, without verifying the reliability of that information if reasonable inquiries are made where the information furnished appears to be incorrect.
• D)The CPA should not recommend that a taxpayer take a certain position if there is any doubt as to whether the position would be approved by the IRS upon audit.

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Definitions:

Tissue with Chondrocytes

Cartilaginous tissue, which contains cells known as chondrocytes that are responsible for the production and maintenance of cartilage.

Chondrocytes

Cells that are found within cartilage and are responsible for maintaining the cartilaginous matrix.

Connective Tissues

Tissues in the body that support, bind together, or separate other tissues and organs, characterized by few cells and substantial extracellular matrix.

Bone and Cartilage

Connective tissues in the body, where bone is hard and dense, providing structure and support, while cartilage is more flexible and cushions joints.