What potential ethics issues do you see in this situation

Assignment Help Accounting Basics
Reference no: EM132859151

Question - Clara comes to an attorney's office in need of assistance with her husband's estate. Her husband, Phil, a factory worker, had been a saver all his life and owned approximately $1,500,000 in stocks and bonds. Clara is relatively unsophisticated in financial matters, so the attorney agrees to handle the estate for 17 percent of the value of the estate. The normal charge for such work is 3 to 5 percent of the estate. The widow agrees to the 17 percent arrangement. The attorney then hires CPA Charles for $10,000 to compute Phil's estate tax on Form 706 and to prepare other appropriate documents.

Under Circular 230, does Charles have any responsibility to inform the widow that she is being significantly overcharged by the attorney? Be sure to cite research that supports your position.

What potential ethics issues do you see in this situation?

Which AICPA Code(s) of Professional Conduct rules apply in this situation (explain how and why they apply)?

Reference no: EM132859151

Questions Cloud

What was cost of goods sold : A count of inventory at the end of the year revealed a balance in Finished Goods of $400,000 at 12/31/2012. What was Cost of Goods Sold during 2012
Differences in conflict management preference : What are some similarities and differences in conflict management preference and negotiation practices among different countries around the globe?
How can computer technology simplify the running of company : What are 5 pieces of information that management needs to run a business and why would they be important?
What a flexible workforce is : What a flexible workforce is? What type of flexible worker would you like to be? Give examples.
What potential ethics issues do you see in this situation : What potential ethics issues do you see in this situation? Which AICPA Code(s) of Professional Conduct rules apply in this situation
Why are databases important to business : Why are databases important to business? How do databases generate sales and profits? What databases do you interact with, and how do they benefit others?
Explain the differences between mrp and mps : Explain the differences between MRP and MPS Explain cash to cash cycle
Why electronic recycling is important : Students must verify that their device make and model can be recycled through the program?
What do you understand by informal care : What do you understand by informal care? Explain consequence of informal caregiving and provide one way to strengthen it. Please feel free to share your experie

Reviews

Write a Review

Accounting Basics Questions & Answers

  Compute the depreciation and depletion charges

Compute the depreciation and depletion charges for 2011, 2012, and 2013. Round your intermediate calculations to two decimal places

  The increase in certification programs and continuing

laserwords inc. is a book distributor that had been operating in its original facility since 1987. the increase in

  What is the value per share of your firm stock

After which growth standard should be at constant rate of 6%. The last dividend paid was 1.00. What is the value per share of your firm's stock

  Describe make decisions about legal or ethical issues

In what ways has this course changed the way that you think about and make decisions about legal or ethical issues?obtain once you've earned your degree

  Compute the internal rate of return on this project

The City of Bedford is studying a 600-acre site on Route 356 for a new landfill. Compute the internal rate of return on this project

  What would be the total cost recorded for job 135 round

broucek inc. makes baby furniture from fine hardwoods. the company uses a job-order costing system and predetermined

  How many units must the company produce in order

The Schraeger Company has estimated that sales for next quarter would be 30,000 units. How many units must the company produce in order

  Calculate the profit for each alternative

Calculate the profit (or loss) for each alternative, assuming Sam can sell all the meals he can serve. Should Sam operate at one, two, or three lanes?

  Explain the tax advantages of operating in the united

a foreign corporation can structure its u.s. operations as either a branch or a subsidiary. what are the tax advantages

  Question - Prepare Journal Entry

Question - Prepare Journal Entry. Dec. 12 Acquired additional equipment worth $24,000 by paying $500 cash and giving a long-term note payable for the balance

  Prepare a classified balance sheet in report form

Prepare a classified balance sheet in report form. For assets, use the classifications of current assets, plant and equipment, and other assets

  Compute the activity rates for activity-based costing system

Compute the activity rates for the activity-based costing system. The Westfield branch of Security Home Bank has submitted the cost data for last year

Free Assignment Quote

Assured A++ Grade

Get guaranteed satisfaction & time on delivery in every assignment order you paid with us! We ensure premium quality solution document along with free turntin report!

All rights reserved! Copyrights ©2019-2020 ExpertsMind IT Educational Pvt Ltd