Litigation Reform
CPA Requirements
Good CPAs
Bad CPAs
Miscellaneous
100
According to this doctrine, each defendant found guilty of contributing to a plaintiff's losses can be held liable for 100% of the judgment, regardless of the degree of fault
What is joint and several liability?
100
The minimum number of hours of educational instruction or training in public accounting subjects or courses of study that each active Florida CPA must have completed during the two-year reestablishment period
What is 80?
100
Candidates must pass all four test sections of the CPA Examination within this period of time, which begins on the NASBA grade release date for the first test sections(s) passed
What is 18-month period?
100
A candidate who has not received credit for all sections within the time frame allotted
What is re-examination candidate?
100
The number of Board of Accountancy members who are not and have never been CPAs or members of any closely related profession or occupation
What is 2?
200
This legal doctrine provides that a contract does not confer rights or impose obligations on any person except the contracting parties
What is privity of contract?
200
The minimum number of hours of accounting-related and/or auditing-related subjects that each active Florida CPA must have completed during the two-year reestablishment period
What is 20?
200
A personal history of honesty, fairness, and respect for the rights of others and for the laws of this state and nation
What is good moral character?
200
Minimum penalty for fraudulent, false, deceptive, or misleading advertising
What is $250 fine?
200
The number of Board of Accountancy members must be CPAs licensed in Florida
What is 7?
300
Clients may recover damages from accountants for (1) breach of contract, (2) negligence, or (3) fraud. This is an example of breach of contract
What is (1) failing to deliver an audit report on time or (2) withdrawing from an audit engagement without justification?
300
The minimum number of hours of ethics training that each active Florida CPA must have completed during the two-year reestablishment period
What is 4?
300
These principles are embodied in the requirement that a CPA shall not knowingly misrepresent facts, and, when engaged in the practice of public accounting, shall not subordinate his/her judgment to others including but not limited to clients, employers or other third parties
What is integrity and objectivity?
300
Three types of penalties that may be imposed by the board or department given inappropriate behavior by a CPA
What is (1) Refusal to certify or to certify with restrictions (2) Suspension or permanent revocation of a license (3) Restriction of practice (4) Imposition of an administrative fine not to exceed $5,000 for each count or separate offense (5) Issuance of a reprimand (6) Placement of the licensee on probation for a period of time (7) Corrective action
300
The three-month period in which candidates have an opportunity to take the CPA Examination
What is examination window?
400
This established proportionate liability for defendants who did not knowingly engage in securities fraud
What is the Private Securities Litigation Reform Act (PSLRA)?
400
The maximum number of hours of behavioral subjects that each active Florida CPA must have completed during the two-year reestablishment period
What is 20?
400
CPAs are restricted from accepting these types of payments.
What are commissions or referral fees and contingent fees?
400
Minimum penalty for attempting to procure license by bribery or fraudulent misrepresentation (if licensed)
What is revocation and $5,000 fine if licensed?
400
This written document shall include a description of the nature and limitations of the services to be performed
What is Understanding with the Entity or Engagement Letter?
500
Rule 505 (amended) of the AICPA Code of Professional Conduct allowed accounting firms to do this
What is practice in any form permitted under their state's law?
500
The four necessary requirements to be licensed as a Florida CPA
What is (1) At least 150 semester hours of college education with a concentration in accounting and business (2) 1 year of work experience (3) Good moral character (4) Passing the licensure examination?
500
A firm shall not express an opinion on financial statements of an enterprise or on the reliability of an assertion by one party for use by another (third) party unless the firm is active licensed and this with respect to such enterprise or the party making the assertion
What is independent?
500
An example of a violation for which there is no substantial threat to the public health, safety, and welfare but for which a citation may be issued
What is (1) Practicing on an inactive or delinquent license (2) Licensees practicing in an unlicensed firm (3) Licensees who complete continuing professional education requirements timely but who are found to be deficient after December 1st of their renewal year (4) Licensees who fail to timely submit complete documentation for a CE audit (5) Retention of client records when records are returned more than three months after the date requested (6) Failure to timely report being convicted or found guilty of a crime
500
Any report or other written communication issued as a result of an examination or review of financial statements which contains either an expression of opinion or other assurance as to the fairness, accuracy or reliability of such financial statements
What is "attest as an expert in accountancy to the reliability or fairness of presentation” or “expression of opinion”?
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