Lorinzer Denning-ACC403-Wk3

Lorinzer Denning-ACC403-Wk3 - c. SEC is rules it is ok to...

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ACC403 Wk3 4-2 An ethical dilemma is a situation a person faces in which a decision must be made about that appropriate behavior. How to resolve an ethical dilemma: 1. Obtain the relevant facts. 2. Identify the ethical issues from the facts. 3. Determine who is affected by the outcome of the dilemma and how each person or group is affected. 4. Identify the alternatives available to the person who must resolve the dilemma. 5. Identify the likely consequence of each alternative. 6. Decide the appropriate action. 4-6 The auditor’s independence is so essential because they are to have a expectation of an unbiased viewpoint, making the information provide very valuable. 4-19 a. 1 b. 3 c. 3 4-20 a. There is nothing wrong with providing a bookkeeping service to a public company, as long as they are not an audit client. b. SEC is rules it is ok to perform an internal audit as long as they are not an audit client.
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Unformatted text preview: c. SEC is rules it is ok to perform an internal audit as long as they are not an audit client and pre-approved by the companys audit committee. d. It is prohibited to recommend clients for independence reasons. e. SEC is rules it is ok to perform an internal audit as long as they are not an audit client and pre-approved by the companys audit committee f. SEC is rules it is ok to perform an internal audit as long as they are not an audit client and pre-approved by the companys audit committee. 4-21 a. Not in any violation. b. They are in violation; the CPA has a direct Ownership Interest. c. Rule 301 ACC403 Wk3 d. They are in violation because they did not receive authorization from the audit committee. e. In violation Rule 501 f. This would be a violation for an auditing firm to set up an insurance agency even if he is not running it. g. Not in violation....
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This note was uploaded on 07/13/2008 for the course ACCT 403/410 taught by Professor N/a during the Spring '08 term at Strayer.

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Lorinzer Denning-ACC403-Wk3 - c. SEC is rules it is ok to...

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