36An appointment as the new accountant of a client will be accepted by the newaccountant even though he is aware that the existing/old accountant has stillt.uncollected professional fee from said client. 35* A public accounting firm like SGV & Co., can legally hire engineers, lawyers andother non-CPAS and offer them a big salary.h. A CPA practitioner can ethically compute his professional fee at 10% of the client's8. True or False. Write true if the statement is correct; or false if the statement is incorrect.audited net income.If true, explain in one(1) or two(2) complete sentences, and if false, correct thestatement in at least one(1) complete sentence.i. A CPA practitioner can ethically compute his professional fee at 10% of thecompany's refundable tax adjustment.a.The name of one or more previous partner may still be included in the name of thej. A CPA practitioner cannot ethically compute his professional fee on the basis of acontingency like a bank loan approval for the client who requested the audit.present partnership.b. A partner surviving the death or withdrawal of all other partners may continue tok. Non-CPAS can ethically share in the profits of the MAS partnership.practice under the partnership's name for three(3) years after becoming a solepractitioner.1. Payments made by one CPA to another CPA is cither a referral fee or compensationdepending on the circumstances.c. CPAS can use firm names that indicate their line of specialization.m. In public accounting, the CPA has a chance of augmenting his salary right away byworking as a sole practitioner.n. The audit engagement letter is sometimes initiated by the auditor.d. The name of one or more present partners cannot be omitted in the name of thepartnership.o. Predecessor auditors can show their working papers to the successor auditors butmust ask permission first from the client.O.e. A CPA and an engineer cannot legally form a partnership to render managementp. On recurring audits, the auditor may send a new engagement letter every year toremind the client in writing about the engagement.advisory services.f. A CPA and a lawyer can legally form a partnership to render management advisoryq. When a new engagement letter is considered not necessary, this means that theauditor and client are amenable to an oral reminder of an existing engagement.services.r. When the existing accountant doesn't reply to the proposed professional accountantafter a reasonable period of time, the latter can accept the appointment without guiltyfeelings that he was not sufficiently ethical towards a colleague.s. Communication between the two accountants (existing and proposed) is alsobeneficial to others like the minority interest owners of the client-corporation.

Partnership refers to the legal act of agreement between two or more partners who have mutually…

Answered: appointment as the new accountant of a…

Survey of Accounting (Accounting I)

8th Edition

ISBN:9781305961883

Author:Carl Warren

Publisher:Carl Warren

Chapter7: Fixed Assets, Natural Resources, And Intangible Assets

Section: Chapter Questions

Problem 7.6C

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appointment as the new accountant of a client ountant even though he is aware that the exis collected professional fee from said client.