Accountancy, asked by AbdullahAzhar8946, 11 months ago

Becker & smith, cpas, and its client, troper lighting, are discussing a possible advisory engagement in which the firm would review troper's accounts receivable system and recommend changes that would streamline the company's collection process. Troper will pay becker & smith a fee based on improved performance in accounts receivable collections. Would this contingent fee arrangement raise any ethical concerns under the profession's rules?

Answers

Answered by nidaeamann
1

Explanation:

As per the condition given in the question statement, there won’t be any ethical issues if there are no hidden terms and conditions and all terms are stated to the client

A consultation company usually works in a similar way, they don’t have any business rather they suggest some solutions to various industrialists who are in need of such solution. For this service, the consultation company gets its reward which is ethically totally fine.

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