WGU D550 TASK 2 ETHICS FOR
ACCOUNTANTS EXAM REVIEW STUDY NOTES
◉ What does integrity mean in the context of CPA ethics?
Answer: Being honest
◉ What does objectivity require?
Answer: Avoiding bias
◉ Which principle requires professional competence?
Answer: Due Care
◉ What independence threat exists if a CPA owns stock in an audit
client?
Answer: Self-interest
◉ What threat is created by reviewing work you originally
prepared?
Answer: Self-review
◉ What does being pressured by management to issue a clean
opinion represent?
, Answer: Intimidation
◉ What safeguard best reduces independence threats?
Answer: Independent review
◉ When may confidential client information generally be disclosed?
Answer: With client permission
◉ What does independence in appearance mean?
Answer: Looking unbiased to outsiders
◉ Which principle specifically emphasizes serving society?
Answer: Public Interest
◉ Which principle is violated if a CPA performs work outside their
area of expertise?
Answer: Due Care
◉ What independence threat occurs when an auditor becomes too
close to a client?
Answer: Familiarity
ACCOUNTANTS EXAM REVIEW STUDY NOTES
◉ What does integrity mean in the context of CPA ethics?
Answer: Being honest
◉ What does objectivity require?
Answer: Avoiding bias
◉ Which principle requires professional competence?
Answer: Due Care
◉ What independence threat exists if a CPA owns stock in an audit
client?
Answer: Self-interest
◉ What threat is created by reviewing work you originally
prepared?
Answer: Self-review
◉ What does being pressured by management to issue a clean
opinion represent?
, Answer: Intimidation
◉ What safeguard best reduces independence threats?
Answer: Independent review
◉ When may confidential client information generally be disclosed?
Answer: With client permission
◉ What does independence in appearance mean?
Answer: Looking unbiased to outsiders
◉ Which principle specifically emphasizes serving society?
Answer: Public Interest
◉ Which principle is violated if a CPA performs work outside their
area of expertise?
Answer: Due Care
◉ What independence threat occurs when an auditor becomes too
close to a client?
Answer: Familiarity
