If the Board of Accountancy in the State in Which

question 143

Multiple Choice

If the board of accountancy in the state in which a CPA firm is licensed has rules that are different than the AICPA's rules, the CPA firm must follow

• A) whichever rules are less restrictive.
• B) whichever rules are more restrictive.
• C) the rules of the AICPA.
• D) the rules of the state's board of accountancy.

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Definitions:

Budget Surpluses

occur when a government's revenues exceed its expenditures during a specific period of time.

U.S. Government

The federal government of the United States, consisting of three branches: legislative, executive, and judicial.

Crowding-Out Effect

A situation where increased government spending leads to reduced investment in the private sector, typically because of higher interest rates or the use of available financial resources.

Keynesians

Economists who follow the theories of John Maynard Keynes, emphasizing the role of government intervention and fiscal policy in managing economic cycles.