Your PA Firm Has Just Obtained a New Client and You

question 62

Multiple Choice

Your PA firm has just obtained a new client and you have been assigned the task of preparing the knowledge of business section of the file.Which of the following best describes the process of gathering the knowledge of business for a client?

• A)discussing processes and business objectives with company employees
• B)gathering information about the industry and regulatory environment
• C)understanding the client's business,industry,and regulatory environment
• D)examining the legal expenses file for possible regulatory infractions

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Definitions:

Registered Retirement Savings Plan

A government-approved program in Canada that enables residents to save for retirement on a tax-deferred basis.

Fixed Monthly Payments

Regular, unchanging payments made each month for a period of time, often used in loans and lease agreements.

Promissory Note

An investment vehicle that features a concrete promise by one entity to pay a definitive money amount to another, either upon solicitation or on a specified date.

Legal Due Date

The specific date by which a legal obligation must be satisfied, such as the payment of debts or completion of contractual duties.