CHAPTER 19 Solutions

CHAPTER 19 Solutions - CHAPTER 19 INDEPENDENCE,...

Info iconThis preview shows pages 1–2. Sign up to view the full content.

View Full Document Right Arrow Icon
CHAPTER 19 INDEPENDENCE, PROFESSIONAL CONDUCT, AND QUALITY CONTROL Answers to Review Questions 19-10 Rule 301 specifies four situations when a CPA can disclose confidential information without the client's consent: (1) to meet disclosure requirements for GAAP and GAAS, (2) to comply with a valid and enforceable subpoena, (3) as required by an authorized peer review board or body, and (4) as part of an investigative or disciplinary proceeding. 19-29 a. No. A ruling of the Professional Ethics Executive Committee allows an auditor to provide such advisory services to an audit client and not violate Rule 101. Independence would be not considered impaired because the member's role is advisory in nature and because the client is a privately held entity. b. No. A ruling of the Professional Ethics Executive Committee indicates that the auditor's independence under Rule 101 is not impaired under these circumstances provided the client makes all significant management decisions related to the hiring of new personnel and the implementation of the system. The auditor must also limit his or her supervisory activities to initial
Background image of page 1

Info iconThis preview has intentionally blurred sections. Sign up to view the full version.

View Full DocumentRight Arrow Icon
Image of page 2
This is the end of the preview. Sign up to access the rest of the document.

Page1 / 2

CHAPTER 19 Solutions - CHAPTER 19 INDEPENDENCE,...

This preview shows document pages 1 - 2. Sign up to view the full document.

View Full Document Right Arrow Icon
Ask a homework question - tutors are online