The Auditor Is Normally Not Permitted to Divulge Confidential Information

question 84

Multiple Choice

The auditor is normally not permitted to divulge confidential information obtained from a client. Which of the following situations would be a violation of this standard?

• A) To respond to the information request of a shareholder.
• B) To respond to a quality review request of the state board of accountancy.
• C) To initiate a complaint with the AICPA's ethics division.
• D) To ensure adequate disclosure in accordance with GAAP.

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Definitions:

Objectives

Specific, measurable goals set by an individual or organization to achieve desired outcomes.

Expectancy Theory

A motivational theory that suggests an individual's behavior is determined by their expected outcomes and the attractiveness of those outcomes.

Good Effort

Typically refers to the application of commendable energy, diligence, or perseverance towards accomplishing a task or goal.

High Performance

Refers to a level of achievement that goes beyond the standard norms, often highlighting exceptional skill, productivity, or quality.