Question

If a CPA who is a member of the AICPA fails to abide by the Principles section of the AICPA’s Code of Professional Conduct, but otherwise acts in conformity with the Code, the CPA’s membership in the AICPA will potentially be:
a. Suspended for a period of up to 30 days
b. Suspended for a period of up to one year
c. Revoked, with the right to apply for reinstatement after one year
d. Not subject to any form of punishment regarding the license to practice accounting

Answer 1

Answer:

The correct answer is D. Not subject to any form of punishment regarding the license to practice accounting

Explanation:

The accounting professional should use their professional judgment to make their decisions, consult a guide such as the Code of Conduct, give some guidelines on what is the correct behavior, to apply the rules and reach correct conclusions.

However, when the professional acts fraudulently, he will be responsible to the competent authorities. When it does not follow the guidelines but still acts under the law, it cannot be sanctioned.