Chapter 2, Problem 1RQ

Which of the following statements are correct regarding the characteristics of a guardianship of the person used to care for the personal needs of an incompetent person? The guardian is appointed by a court. The guardian is appointed by a durable power of attorney. The guardian's authority may be plenary or limited. A guardian becomes personally liable for the incompetent person's expenses.     A) II and III     B) I and III     C) III and IV     D) I, II, and IV

Which of the following would be considered a self-interest threat? When a member of the assurance team was previously a director or officer of the assurance client Potential employment with an assurance client A member of the assurance team has a close family member who is a director or officer of the assurance client Acting as the client’s advocate in a legal proceeding

What are the rights and duties of the CPA?  What obligation does the CPA have to a user of the document who did not pay for the report?  What right does the client have to direct the work of the CPA?  Is a client always owed the duty of confidentiality?

Which of the following would be considered a self-interest threat? When a member of the assurance team was previously a director or officer of the assurance client Acting as the client’s advocate in a legal proceeding Potential employment with an assurance client A member of the assurance team has a close family member who is a director or officer of the assurance clientWhich of the following would be considered a self-interest threat? When a member of the assurance team was previously a director or officer of the assurance client Acting as the client’s advocate in a legal proceeding Potential employment with an assurance client A member of the assurance team has a close family member who is a director or officer of the assurance client

In which of the following situations is there a violation of client confidentiality under the AICPA Code of professional conduct?   1. A member discloses confidential client informationto a court in connectionwith arbitration proceedings related to the client. 2.A member disclosesconfidential client informationto a professional liability insurance carrier after learning of a potential claim against the member. 3.A member whose practice is primarily bankruptcy discloses a client's name. 4.A member uses a record retention agency to store clients' records that contain confidential client information.

What is the essence of the rule of professional ethics dealing with contingent fees, and what are the reasons for the rule?

What kind of actions might customers pursue against auditors under the common law doctrine of restitution? In each situation, what evidence do clients need to provide before filing a lawsuit?

Under what circumstances can a CPA be paid on a commission basis? Why do you think the regulation impose these restrictions?