Question

a. Providing bookkeeping services to a public company The services were preapproved by the audit committee of the company b. Providing internal audit services to a public company audit client with the preapproval of the audit committee c. Providing advice to a private company client on accounting for a merger with another private company d. Providing bookkeeping services to a private company The source documents were prepared and authorized by the client e. Providing internal audit services to a public company that is not an audit client f. Implementing a financial information system desi g Recommending a tax shelter to a client that is publicly held. The services were preapproved by the igned by management for a private company audit committee. (Assume the the service does not meet the characteristics of an abus
Violation? Yes Yes No Situtation b. d.
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Answer #1

Answer:

Situation

Violation

a

Providing bookkeeping services to a public
company. The services were pre-approved by the audit committee of the company.

Yes

b

Providing internal audit services to a public company client with the pre-approval of the audit committee.

Yes

c

Providing advice to a private company client on accounting for a merger with another private company.

No

d

Providing bookkeeping services to a private company. The source documents were prepared and authorized by the client.

No

e

Providing internal audit services to a public company that is not an audit client

No

f

Implementing a financial information system designed by management for a private company

No

g

Recommending a tax shelter to a client that is publicly held. The services were preapproved by the audit committee. (Assume the service does not meet the characteristics of an abusive tax )

No

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