Melody is an accountant at Centric, a large international firm where she works on potential acquisitions. When Centric is preparing to acquire a company, Melody is involved in filing the necessary paperwork with the Securities and Exchange Commission (SEC).

Melody has been dating Robert for two years; they are now discussing marriage. Robert works as a salesperson for an exercise equipment distributor.

Over the past two years, Melody has talked with Robert about what she’s doing at work. She does not go into great detail, but does occasionally mention company names. Melody has given her company phone passcode to Robert so he can answer calls for her or look things up for her when she’s the one driving. Robert has read some of her emails by using the phone passcode. He has also eavesdropped on a few phone conversations she has had when a colleague calls her from work with a question.

Unbeknownst to Melody, Robert has been sharing the information he has gotten from her with his stockbroker friend, Matt. Robert will call Matt to give him a "heads up" that Melody’s company is going to be acquiring another company soon. Matt will then place an order to buy the stock of the company and will later split the profits with Robert.

Melody has not shared any information intentionally, nor has she directly profited from it.

Respuesta :

Answer:Melody has not observed with diligence the code of ethics that guides the accountancy profession this has lead though unintentionally to insider dealings in the share of the company she was preparing merger deal for

Explanation:in accountancy,it's expected that accountant should eschew the spirit of confidentiality and exhibit maximum refrain from divulging information that touches on proposed deals , Meghan for one is not suppose to allow the fiance or any close relatives access to her official email ,it against the code of conduct of any organization .Mentioning the names if company she working on is also exhibiting lack of proper care and confidentiality.

The code of ethics sorrounding insider dealings is that any close relatives as well as the accountant involved merger dealings such as Meghan must not trade in shares of company she has confidential information about .she has unknowingly divulge the information about her clients to her fiancee by her sheer carelessness and not adherence to the stipulated code of ethics of her profession and will be seen as an accessory to the crime