The Materiality of a Conflict of Interest Should Be Evaluated

question 32

Multiple Choice

The materiality of a conflict of interest should be evaluated from the perspective of:

• A) Whether a reasonable client would consider the conflict to be material
• B) Whether a client, acting unreasonably or reasonably, would consider the conflict to be material
• C) Whether an objective observer who is reasonably informed about the surrounding facts would conclude that a conflict of interest is material
• D) Whether the CPA subjectively, from his or her own vantage point, has concerns about two or more material interests clashing