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CAF-6 · Chapter 13 · Question 2 of 15

Zaid, a CFO, is preparing the year-end financial statements. His CEO pressures him to hide a massive impending loss by delaying the recording of certain expenses. If Zaid complies, which threat to his fundamental principles is primarily occurring?

Test yourself: pick an answer

Reveal answer & explanation

Correct answer: C) Intimidation threat

Explanation

An intimidation threat occurs when a member is deterred from acting objectively because of actual or perceived pressures, including attempts to exercise undue influence (such as a CEO pressuring a CFO).

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