AICPA Ethics Code Exam UPDATED ACTUAL Questions and CORRECT
Answers
1. Which step in the decision-making mod- D. Consider rules, regulations, and laws
el is characterized by asking the question, Step 7 asks this question. You may determine
"Are these opinions consistent with applic- that the greatest benefit and least amount
able professional ethics rules, regulations, of harm would likely result if you take a par-
and laws?" ticular course of action, but if that course of
A. Recognize ethical issues action is inconsistent with the profession's
B. Gather critical facts rules of conduct, you may not ignore those
C. Consider the effect on stakeholders rules.
D. Consider rules, regulations, and laws
2. Which step in the decision-making model B. Consider your comfort level
is characterized by asking the question, "If Step 6 asks you to consider your comfort
you had to discuss your decision in public,
would you be concerned about how it re-
flects on your ethics"
A. Recognize ethical issues
B. Consider your comfort level
C. Consider the effect on stake holders
D. Consider rules, regulations, and laws
3. CPAs must follow the rules and standards
promulgated by which body?
A. AICPA
B. SEC
C. PCAOB
D. Your state CPA licensing board
4. As a professional CPA, I have the greatest
responsibility to serve:
,level. Before you make a decision about the correct action when
facing an ethical issue, you should ask yourself some questions.
D. Your state CPA licensing board
State CPA licensing boards are charged withissuing CPA licenses and
overseeing the eth-ical conduct of CPAs in 55 jurisdictions in the
United States. It is critically important for CPAs to know their state
board's require-ments. If you are licensed by more than onestate
board, you should familiarize yourself with each state's requirements.
C. Your primary responsibility is to serve thepublic interest.
, A. My clients
B. My best interest
C. The public's interest
D. My superior's interest
5. As a professional CPA, I have a responsi- A. Integrity
bility to maintain and broaden public con- Integrity is one of the cornerstones of our
fidence by performing all my responsibili- profession.
ties with:
A. Integrity
B. Speed
C. Agility
D. Perfection
6. I also must maintain my objectivity, be free B. Care
of conflicts of interest, and discharge all of Due care implies a certain level of quality and
my responsibilities with due... competence in the performance of services.
A. Respect
B. Care
C. Diligence
D. Speed
7. Bob is a CPA who works as as senior C. Maybe. But more facts should be consid-
accountant in a small but diversified fi- ered
nancial services company. Bob works for We need more information to determine
the parent company (bank) in a division whether this situation creates a significant
that makes business loans. His mother has threat to Bob's ability to be objective.
been offered a seat on the board of di-
rectors of a subsidiary company that is an
investment advisor.
Does Bob's situation cause a significant
threat to Bob's integrity and objectivity
Answers
1. Which step in the decision-making mod- D. Consider rules, regulations, and laws
el is characterized by asking the question, Step 7 asks this question. You may determine
"Are these opinions consistent with applic- that the greatest benefit and least amount
able professional ethics rules, regulations, of harm would likely result if you take a par-
and laws?" ticular course of action, but if that course of
A. Recognize ethical issues action is inconsistent with the profession's
B. Gather critical facts rules of conduct, you may not ignore those
C. Consider the effect on stakeholders rules.
D. Consider rules, regulations, and laws
2. Which step in the decision-making model B. Consider your comfort level
is characterized by asking the question, "If Step 6 asks you to consider your comfort
you had to discuss your decision in public,
would you be concerned about how it re-
flects on your ethics"
A. Recognize ethical issues
B. Consider your comfort level
C. Consider the effect on stake holders
D. Consider rules, regulations, and laws
3. CPAs must follow the rules and standards
promulgated by which body?
A. AICPA
B. SEC
C. PCAOB
D. Your state CPA licensing board
4. As a professional CPA, I have the greatest
responsibility to serve:
,level. Before you make a decision about the correct action when
facing an ethical issue, you should ask yourself some questions.
D. Your state CPA licensing board
State CPA licensing boards are charged withissuing CPA licenses and
overseeing the eth-ical conduct of CPAs in 55 jurisdictions in the
United States. It is critically important for CPAs to know their state
board's require-ments. If you are licensed by more than onestate
board, you should familiarize yourself with each state's requirements.
C. Your primary responsibility is to serve thepublic interest.
, A. My clients
B. My best interest
C. The public's interest
D. My superior's interest
5. As a professional CPA, I have a responsi- A. Integrity
bility to maintain and broaden public con- Integrity is one of the cornerstones of our
fidence by performing all my responsibili- profession.
ties with:
A. Integrity
B. Speed
C. Agility
D. Perfection
6. I also must maintain my objectivity, be free B. Care
of conflicts of interest, and discharge all of Due care implies a certain level of quality and
my responsibilities with due... competence in the performance of services.
A. Respect
B. Care
C. Diligence
D. Speed
7. Bob is a CPA who works as as senior C. Maybe. But more facts should be consid-
accountant in a small but diversified fi- ered
nancial services company. Bob works for We need more information to determine
the parent company (bank) in a division whether this situation creates a significant
that makes business loans. His mother has threat to Bob's ability to be objective.
been offered a seat on the board of di-
rectors of a subsidiary company that is an
investment advisor.
Does Bob's situation cause a significant
threat to Bob's integrity and objectivity
