п»їCOLEGIO DE SAN JUAN DE LETRAN CA
INSTITUTION OF ORGANIZATION MANAGEMENT AND ACCOUNTANCY
AUDITING AND GUARANTEE SERVICES
Circumstance Name: Freescale Semiconductor, IncDate: November twenty nine, 2014
PART I. SPECIFICS
PART II. CASE PROBLEM AND SOLUTIONS
1 . Discover the specific circumstances under which usually auditors should provide secret client info to third parties.
Under the Code of Ethics for Professional Accountants in the Philippines, Auditors are let to provide confidential client data to third parties when (a) Disclosure can be permitted by law and is official by the consumer or the company, (b) Necessary by law just like Disclosure of documents or perhaps other procedures of proof in the course of legal proceedings; in order to the appropriate community authorities of infringement from the law that come to mild and (c) There is a professional duty or perhaps right to disclose, when not prohibited by law such as to comply e with all the quality assessment or to reply to an injury or investigation of a member or perhaps professional body system, to protect the professional interests of a specialist accountant in legal actions or to abide by the technical standards and ethics requirements.
2 . Suppose that you and a detailed friend have employment with the same accounting firm. You are assigned to the business's audit staff, while your friend is known as a consultant who also works on M& A events. What might you do under the following situations (1) your friend discloses to you very confidential " market-movingвЂќ details regarding a soon-to-be announced merger; (2) your good friend not only reveals such data to you although also shows you that she or he plans to use it to generate a " quickвЂќ profit in the stock market? In your responses, touch upon your honest responsibilities.
In both conditions I would notify my friend that his actions are not in good faith, as opposed to law, honnete, good traditions and...