What would you do at this point and why?

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1. Was it ethical for Marissa to own stock in the client, given she had no involvement with the audit engagement?

2. Assume that Marissa calls her best friend, who also owns stock in the audit client and works in the tax department of the firm. Marissa tells her friend about the expected stock price decline. Has Marissa violated any laws by contacting her friend about the matter? Has she violated her ethical obligations?

3. Assume that you also work for the firm and know about Marissa stock ownership. You approach Maris sand tells her she should sell her shares in the client. Marissa declines to do so and tells you it is none of your business. What would you do at this point and why?

Reference no: EM13866345

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