Question:
Appropriate procedural safeguards help reduce threats to objectivity and counter any perception of possible bias. Which of the following is/are not procedural safeguard/s?
(1) Act in a fraudulent manner
(2) Providing peer review of valuation, if necessary
(3) Non-Disclosure of any prior association with the client
(4) Non-Disclosure of any possible source of conflict of interest
Appropriate procedural safeguards help reduce threats to objectivity and counter any perception of possible bias. Which of the following is/are not procedural safeguard/s?
(1) Act in a fraudulent manner
(2) Providing peer review of valuation, if necessary
(3) Non-Disclosure of any prior association with the client
(4) Non-Disclosure of any possible source of conflict of interest
(1) Act in a fraudulent manner
(2) Providing peer review of valuation, if necessary
(3) Non-Disclosure of any prior association with the client
(4) Non-Disclosure of any possible source of conflict of interest
Updated On: Nov 26, 2025
- (3) and (4)
- Only (2)
- Only (4)
- (2) and (4)
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The Correct Option is A
Solution and Explanation
Disclosure of prior association with the client and disclosure of any possible source of conflict of interest are crucial procedural safeguards to maintain objectivity and transparency. Acting in a fraudulent manner is clearly not a safeguard; it is the opposite. Providing peer-review of valuation can be a valuable safeguard to ensure the accuracy and objectivity of assessments. Therefore, options (3) and (4) are not procedural safeguards, making (A) the correct answer.
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