CPAs Who Are Full-Time Employees of a Corporation and Focus

question 27

Multiple Choice

CPAs who are full-time employees of a corporation and focus on the preparation of earnings forecasts and projections invariably learn confidential information about their employer's future prospects.Is such an employee subject to the duty of confidentiality?

• A) Yes, if the employment agreement between the employer and employee establish the duty of confidentiality
• B) Yes, but they would not be subject to this duty if they performed their services as part-time employees
• C) No, because employees in key financial oversight roles are not subject to the duty of confidentiality
• D) Yes, because all CPAs are subject to the duty of confidentiality

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Definitions:

Kinsman

A term referring to a male relative, or used more broadly to indicate familial bonds or relationships between males.

Racist Assumptions

Prejudiced beliefs that inherently attribute superiority or inferiority to individuals based on racial characteristics, often resulting in systemic discrimination and inequality.

Homophobic Assumptions

Premises or beliefs that are based on prejudice, fear, or dislike of homosexuality or people who are perceived as not conforming to heterosexual norms.

STIs

Sexually Transmitted Infections, diseases passed from one individual to another through sexual contact, including viruses, bacteria, and parasites.