A CPA Audits Amberset Corporation

question 28

Multiple Choice

A CPA audits Amberset Corporation.This CPA has been named to serve as the trustee of a trust fund that a client set up for the benefit of her grandchildren.The client is the majority shareholder of Amberset Corporation,and Amberset stock is one of the trust's assets.The CPA potentially retains the independence to continue to audit Amberset Corporation only if:

• A) The CPA is a co-trustee and there are at least three co-trustees
• B) Amberset is a publicly-traded corporation
• C) The CPA does not directly own any Amberset stock
• D) The CPA refuses to serve as this client's trustee

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Definitions:

Distinct Personalities

Refers to the presence of two or more distinct and relatively enduring personality states within a single individual, often related to dissociative identity disorder.

One Body

a concept that could refer to a unified or holistic approach to something, emphasizing the integration or unity of parts.

Personality Disorders

Disorders in which a person adopts a persistent, rigid, and maladaptive pattern of behavior that interferes with normal social interactions.

Maladaptive Pattern

Behavior patterns that negatively affect a person’s ability to function in daily life.