Identify the True Statement Concerning Communications Between Clients and Accountants

question 29

Multiple Choice

Identify the true statement concerning communications between clients and accountants.

• A) In all states, communications between clients and accountants are treated the same way communications between clients and attorneys are treated.
• B) Communications between clients and accountants are treated by courts as privileged in the vast majority of states.
• C) Even if a state has a statute that grants protection to accountants' working papers, federal courts do not always recognize such state statutes.
• D) The accountant can never be forced to testify about the client's records and about conversations that the accountant had with the client.

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Definitions:

Labor Force

The total number of people employed and those actively seeking employment in an economy.

Discouraged Workers

Individuals who are not actively seeking employment because they believe no jobs are available for them or there are no opportunities for which they qualify.

Unemployed

Individuals who are capable of working and are actively seeking employment but are unable to find a job.

Unemployment

The state of being without a paid job despite seeking employment.