In General,which of the Following Statements Is Correct with Respect

question 35

Multiple Choice

In general,which of the following statements is correct with respect to ownership,possession,or access to working papers prepared by a CPA firm in connection with an audit?

• A)The working papers may be obtained by third parties where they appear to be relevant to issues raised in litigation.
• B)The working papers are subject to the privileged communication rule which,in a majority of jurisdictions,prevents third-party access to the working papers.
• C)The working papers are the property of the client after the client pays the fee.
• D)The working papers must be retained by the CPA firm for a period of ten years.

---

Definitions:

Economic Well-being

The state in which individuals or societies can satisfy their needs and desires, often measured by income, employment, and access to resources.

Taxes Affect

Describes how taxes influence economic decisions and behaviours of individuals and businesses, including consumption, investment, and savings.

Labor Supply

The total hours that workers are willing and able to work at a given wage rate, within an economy.

Inelastic

A situation in which the demand or supply for a good or service is relatively unresponsive to changes in price.