Farah is currently auditing Software Synx,a public company.After a long day of work,Farah goes for a drink with her friend John who mentions that he owns shares of Software Synx.Farah indicates that John should hold on to his shares as they will go up next week when the financial statements are released and show an increase of 12% for revenues.Which element of quality control is compromised by Farah?
A)relevant ethical requirements
B)independence
C)human resources
D)engagement performance

Question

Quizplus · Accepted Answer

Farah's actions compromise the relevant ethical requirements, specifically confidentiality and insider trading, by sharing non-public information about the company's financial performance.

Farah Is Currently Auditing Software Synx,a Public Company