The importance of the accept/reject decision for a particular client is reflected in the inclusion of "acceptance and continuation of clients" as:
A) the subject of Statement of Financial Accounting Standards 96.
B) the subject of Statement on Auditing Standards 7.
C) a separate rule in the AICPA Code of Conduct.
D) an explicit part of the General Standards.
E) one of the quality control elements for CPA firms.

Question

Quizplus · Accepted Answer

The "acceptance and continuation of clients" is considered one of the quality control elements for CPA firms, ensuring that firms take on and continue to work with clients that they can competently serve and that adhere to ethical and professional standards.

The Importance of the Accept/reject Decision for a Particular Client