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:

Endogenous Depression

A type of depression arising from internal factors, often biological or genetic, rather than external life events.

Seasonal Affective

A type of depression related to changes in seasons, typically starting in the fall and continuing into the winter months.

Cognitive Therapy

A psychological treatment approach aimed at changing thought patterns to alter behavior and emotional states.

Depressed People

Individuals experiencing a persistent feeling of sadness or a lack of interest in external stimuli, which can significantly impact daily functioning.