Reference no: EM13706727

Give Explanation Of Each Correct Answer.

6. The profession's ethical standards most likely would be considered to have been violated when a CPA represents that specific consulting services will be performed for a stated fee, and it is apparent at the time of the representation that:
actual fee would be substantially higher.
actual fee would be substantially lower than the fees charged by other CPAs for comparable services.
CPA would not be independent.
fee was a competitive bid.
7. Which of the following will not be discharged in a bankruptcy proceeding?
Claims resulting out of an extension of credit based upon false representations.
Claims of secured creditors which remain unsatisfied after their receipt of the proceeds from the disposition of the collateral.
Claims for unintentional torts which resulted in bodily injury to the claimant.
Claims arising out of breach of a contract by the debtor.
8. For regular tax purposes, with regard to the itemized deduction for qualified residence interest, home equity indebtedness incurred this year
Includes acquisition indebtedness secured by a qualified residence.
May exceed the fair market value of the residence.
Must exceed the taxpayer's net equity in the residence.
Is limited to $100,000 on a joint income tax return.