A CPA Provides Services to Two Clients in the Same

question 30

Multiple Choice

A CPA provides services to two clients in the same industry.Both clients have been informed of this fact and have acknowledged their approval in writing.As a result:

• A) The CPA nonetheless is violating professional standards concerning conflicts of interest
• B) The duty of confidentiality has been waived and does not apply to the two accountant-client relationships mentioned
• C) Must be careful to not share specific information learned from one client with the other client
• D) Must be careful to not utilize general industry experience gained from serving one client to benefit the other client

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Definitions:

Trait Descriptions

The characterization of individuals based on observable qualities or attributes that tend to be consistent across different situations.

Central Traits

Essential characteristics of an individual that define or predict their behavior across a variety of situations.

Individual's Personality

The combination of characteristics or qualities that form an individual's distinct character and psychological identity.

Cardinal

A fundamental aspect or principle.