The Ethical Issue in the Beauda Medical Case Is

Multiple Choice

The ethical issue in the Beauda Medical case is:

A) Whether an audit firm should inform one audit client about malfunctioning equipment at another client that the former plans to buy
B) Whether an audit firm should inform one audit client about fraudulent financial statements of another client
C) Whether certain expenditures should be capitalized rather than expensed
D) Whether revenue should be accelerated into an earlier period