Question Review your research conducted for 4-3: Professional… Review your research conducted for 4-3: Professional Responsibilities of CPAs 1.For each of the following five cases in the Case Study, write four or five comprehensive paragraphs(formatted with the following subtitles) describing the following for each situation: Issue – briefly state the issue from the situation.Rule – research and identify the applicable administrative law or code section number and title. Analysis – apply the law or code to the issue analyzing whether or not there was a violation of thelaw or codeConclusion – conclude your analysis with how the situation could be corrected. Include any potential penalties that might be applicableProfessional Responsibilities of CPAs Case Study AnalysisSituations:(IRAC analysis worth 8 points for each situation)1) JaneD.recentlystartedherownCPAconsultingpracticeafterworkingseveralyearsin public accounting. Jane’s practice included a sign on the front of the office that read “Jane Doe, CPA” and her business cards indicated the same title. Jane has been very busy lately and did not complete her continuing education requirements for the current reporting period. Identify the issue(s) that Jane is potentially facing due to this situation.2) JohnS.washavingtroubleearningalivingfromhisCPAtaxpractice.Johndecidedto advertise his tax preparation service with a new tag line that stated “Our clients receive the highest tax refunds around town.” The advertisement showed a couple jumping up in the air in celebration with one of the individuals talking about buying a new car. Identify the issue(s) that John is potentially facing due to this situation.3) RobynA.hasbeenoperatingataxpracticeformanyyears.Infact,herpracticeisso successful that she has decided to refer certain clients to a fellow CPA (Tom S.) whose practice is having trouble attracting clients. Robyn has made the referrals condition on her earning a 25% commission on the total fees charged by Tom S. for these referred clients. Tom, eager for new revenue, has agreed to this deal. Identify the issue(s) that Robyn and/or Tom are potentially facing due to this situation.4) RobertO.hasalucrativeCPAtaxpreparationpractice.Roberthasdecidedthatheisso successful in identifying tax loopholes for his clients that they are earning higher tax refunds than if the client went elsewhere. Robert decided to offer his tax preparation service on a contingency basis to his clients. He will charge them a flat 35% contingency fee for every dollar the client receives from the IRS. Identify the issue(s) that Robert is potentially facing due to this situation.5) JamesC.,CPAhasconductedtheauditsforaprivatemediumsizedcompanyownedbya friendofhis(GeorgeW.). Georgehasbeenhavingtroublemeetingthecontract requirements of a loan from a local bank. The bank has filed suit against George for potentially falsifying records submitted to the bank per the loan contract. As part of theAccounting Business Managerial Accounting ACCT 401
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