If a CPA Provides Professional Services to a Large Corporation,it

question 19

Multiple Choice

If a CPA provides professional services to a large corporation,it should discuss confidential client information:

• A) Only with the corporation's Audit Committee and General Counsel
• B) Only with the corporation's Audit Committee and Board of Directors
• C) Only with the corporation's General Counsel to preserve the attorney-client privilege concerning such communications
• D) With any corporate employee who, in the CPA's professional judgment, is an appropriate recipient of such information

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Definitions:

Purchase Economies

Cost advantages that a business can achieve by buying goods or services in large quantities, leading to lower per-unit costs.

Transportation Economies

The cost savings realized through efficient transportation logistics, including scale of operation, routing, and mode of transport selection.