Question: Which statement best explains why the SEC has concerns about the independence of an audit firm that has a contingent fee arrangement with its audit
Which statement best explains why the SEC has concerns about the independence of an audit firm that has a contingent fee arrangement with its audit client?
A.) The firm may have a mutuality of interest with its client
B.) The firm may be overly skeptical about the client's financial position
C.) The firm may fail to exercise due care when performing the audit
D.) The firm may have a conflicting interest with its client
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