Which of the Following Activities Is Allowed for a CPA

question 8

Multiple Choice

Which of the following activities is allowed for a CPA firm's attestation clients?

• A) Contingent fees based on savings due to implementation of an information system.
• B) Commissions for referring a review client to an insurance agency for insurance coverage.
• C) Preparation of tax returns for which fees are based upon client refunds.
• D) Each of the above is allowed.

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Definitions:

Sales Taxes

Taxes imposed on the sale of goods and services that are collected by retailers and passed on to the government.

Property Taxes

Taxes levied by local governments based on the value of property, including land and buildings, owned by individuals or companies.

Attorney Fees

Payments made to lawyers for legal services rendered.

Graded

A term typically used in education to describe the evaluation of work or performance by assigning a level, score, or category.