If a Conflict of Interest Arises During the Course of Providing

question 20

Multiple Choice

If a conflict of interest arises during the course of providing professional services,a professional accountant:

• A) Must consider withdrawing from the professional engagement
• B) Is required to withdraw from the professional engagement, but does not have to refund fees previously paid by its client
• C) Is required to withdraw from the professional engagement and is required to refund fees previously paid by the client
• D) Is not required to withdraw from the professional engagement if the conflict of interest did not exist at the inception of the relationship and it was not reasonably foreseeable at that time

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Definitions:

Individual Difference

Variations among individuals in their thinking, emotion, personality, and behavior.

Subtype

A distinct group within a broader category that differs in some characteristics from the main group.

Superordinate Category

A higher-level classification that groups together more specific or subordinate categories based on common characteristics.

Corporate Executive

A senior manager or an administrative leader in a corporation who has significant decision-making powers and responsibilities for the organization's direction.