ExpertCPA · Question 09 · Area 1: Ethics & Procedures
A CPA is auditing a client's financial statements. The client refuses to provide a representation letter. The CPA decides to withdraw from the engagement. Under the AICPA Code of Professional Conduct, which of the following is true regarding the CPA's duty of confidentiality if contacted by the successor auditor?
A CPA is auditing a client's financial statements. The client refuses to provide a representation letter. The CPA decides to withdraw from the engagement. Under the AICPA Code of Professional Conduct, which of the following is true regarding the CPA's duty of confidentiality if contacted by the successor auditor?
Answer options:
The CPA must disclose the reason for withdrawal to the successor auditor immediately.
The CPA may discuss the withdrawal with the successor auditor only with the client's permission.
The CPA is prohibited from communicating with the successor auditor under any circumstances.
The CPA may disclose the information without permission if it relates to a crime.
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