Questions from General Accounting

Q: A common ethical dilemma used to distinguish between philosophical reasoning methods is

A common ethical dilemma used to distinguish between philosophical reasoning methods is the following. Imagine that you are standing on a footbridge spanning some trolley tracks. You see that a runawa...

Q: 1. What is the relationship between the ethical obligation of honesty

1. What is the relationship between the ethical obligation of honesty and truth telling? 2. Is it ever proper to not tell someone something that he or she has an expectation of knowing? If so, describ...

Q: What do you think is meant by the term ethical auditing with

What do you think is meant by the term ethical auditing with respect to the principles and rules of professional conduct in the AICPA Code?

Q: Some criticize the accounting profession for using expressions in the audit report

Some criticize the accounting profession for using expressions in the audit report that seem to build in deniability should the client commit a fraudulent act. What expressions enable the CPA to build...

Q: Do you think the concept of materiality is incompatible with ethical behavior

Do you think the concept of materiality is incompatible with ethical behavior? Consider in your answer how materiality judgments affect risk assessment in the audit of financial statements.

Q: According to GAAS, the auditor must evaluate the control deficiencies that

According to GAAS, the auditor must evaluate the control deficiencies that he has become aware of to determine whether those deficiencies, individually or in combination, are significant deficiencies...

Q: Mr. Arty works for Smile Accounting Firm as a senior accountant

Mr. Arty works for Smile Accounting Firm as a senior accountant. Currently he is doing a review of rental property compliance testing of rental receipts and expenses of the property owned by the clien...

Q: Auditing standards require that a “brainstorming” session should be held

Auditing standards require that a “brainstorming” session should be held at the beginning of each audit to help identify steps to assess the possibility that material misstatements/fraud in the financ...

Q: Discuss the link between skeptical judgment and skeptical action and Rest’s Four

Discuss the link between skeptical judgment and skeptical action and Rest’s Four-Component Model of Ethical Decision Making.

Q: What are the auditor’s responsibilities to communicate information to the audit committee

What are the auditor’s responsibilities to communicate information to the audit committee under AICPA and PCAOB standards? If the auditor discovers that the audit committee routinely ignores such comm...