Flashcards: Professional Standards

John Rich is a CPA auditor with Biggs, CPA. Rich is an avid investor and has a rather larger portfolio. Rich has a 6% stake in Sigma Corp a public company client of Biggs. Rich is not on the Sigma account but notified the partners of his investment. Because of Rich’s investment:

independence is not impaired.

independence is not impaired because Rich does not work on the Sigma account.

independence is impaired

independence is not impaired if disclosed.

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