Yna Shennel S.

Mate
Level III-BSA

Case I

CPA Paula Lahug performs the audit of the local symphony society. Because of her good work,
she was elected an honorary member of the board of directors.

Interpretation- Honorary Dictatorships and Trusteeship. CPA Paula Lahug will not be considered
independent unless:

1. The position is in fact purely honorary

2. Listing of directors show she is an honorary director
3. She restricts participation strictly to the use of her name
4. She does not vote or participate in management fuctions.