Professional Conduct Standards: How Well Do You Know Them?

Source: Journal of Accountancy

The Journal of Accountancy offers an “ethics IQ quiz” to test your knowledge of the constantly evolving AICPA Code of Professional Conduct. The quiz takes the form of 10 hypothetical dilemmas and provides answers, together with references to the applicable standards or interpretations.

Question 10, for example, involves a CPA firm manager whose mortgage is refinanced by a nonclient bank, which later sells the mortgage to a bank that's an attest client of the firm. Has the firm's independence been impaired? No, according to Interpretation 101-5, so long as the manager keeps the loan current and the mortgage agreement's terms don't change.

For the complete article, read “Ethics IQ Quiz.”

From Journal of Accountancy, October 2012, American Institute of Certified Public Accountants, http://www.journalofaccountancy.com/Issues/2012/Oct.