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November 4, 2024

Ethical Reasoning 2

Janice is an audit manager in a large public accounting firm with 35 offices on the East Coast. Janice has been dating Keith, a CFO of a company that is not a client of Janice’s firm. Keith has a significant investment portfolio of his own. After dating for four months, Janice and Keith decide to get married. However, Janice tells Keith it is important for him to carefully review his investment portfolio. The policy in Janice’s firm is that she cannot have a direct investment, of any size, in any audit client of the firm. Further, she cannot have a material indirect investment in the audit client. Q: How should this be handled by Janice and Keith?

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