1. As compared to the AICPA Code of Professional Conduct, IFAC's International Code of Ethics for Professional Accountants:

a. Has fewer definitive prohibitions with respect to independence.

b. Has more specific restrictions.

c. Is less conceptual.

d. Applies to more types of services.

2. When a threat to independence arises an auditor should consider:

a. Alternative threats to a lack of independence.

b. Available safeguards to independence.

c. Required lack of independence approaches.

d. Global independence rules.

3. Which of the following organizations issue international ethics standards for auditors?

a. The IFAC

b. The AICPA

c. The FASB

d. The SEC

4. Which of the following is a correct statement related to CPA legal liability under common law?

a. CPAs are liable for either ordinary or gross negligence to identified third parties for whose benefit the audit was performed.

b. CPAs are guilty until they prove that they performed the audit with "good faith."

c . CPAs may escape all personal liability through incorporation as a limited liability corporation

d CPAs are normally liable to their clients, the shareholders, for either ordinary or gross negligence.