Joe Smith,CPA,has been operating is own public accounting practice for several years.His expertise is and has always been in auditing medium-sized private companies in the agricultural industry.Recently,he referred a request to audit a large company in the automotive industry to another firm.In so doing,Joe is best demonstrating compliance with which aspect of the ethical requirements set out in CPA Canada's CAS?
A)Objectivity and Independence
B)Competence
C)Due Professional Care
D)Professional Skepticism

Question

Quizplus · Accepted Answer

Joe Smith is demonstrating compliance with the aspect of Competence by referring a request outside his area of expertise (auditing in the agricultural industry) to another firm. This action acknowledges that he may not have the necessary expertise to audit a large company in the automotive industry, aligning with the ethical requirement that CPAs should undertake only those services they can perform competently.

Joe Smith,CPA,has Been Operating Is Own Public Accounting Practice for Several