Dominate the Series 26 in 2025 – Master the Investment & Variable Contracts Challenge!

Question: 1 / 400

What is the timeframe for a member to notify the SEC and FINRA after the resignation or termination of their independent accountant?

10 business days

15 business days

The requirement for a member to notify the SEC and FINRA following the resignation or termination of their independent accountant is indeed 15 business days. This timeframe is stipulated to ensure that regulatory authorities are promptly informed about changes that could impact the company's financial reporting and auditing practices. Timely notification helps maintain transparency and allows regulators to assess any potential implications that the change in the independent accountant may have on the firm's compliance and financial integrity.

This regulation reflects the importance of maintaining an effective audit process and demonstrates that the firm is proactive in its compliance obligations. By mandating this notification within a specific timeline, the regulatory bodies ensure that they can oversee the continuity of reliable financial reporting to protect investors and uphold market integrity.

Get further explanation with Examzify DeepDiveBeta

20 business days

30 business days

Next Question

Report this question

Subscribe

Get the latest from Examzify

You can unsubscribe at any time. Read our privacy policy