Each of the Following Situations Involves a Possible Violation of the Provincial

Each of the following situations involves a possible violation of the provincial institutes' Rules of Professional Conduct.For each situation,(1)decide whether or not the Rules have been violated,and (2)briefly explain how the situation violates (or does not violate)the Rules.A)Johnny Line has a successful dentistry practice in Calgary.Johnny has recommended one of his patients to Leslie King,public accountant.To show gratitude for the referral,Leslie has agreed to pay Johnny 5% of the fee for audit services rendered by Leslie to Johnny's patient.Leslie discloses the payment agreement to her new client.
Violation? Yes No
B)The accounting firm of Bayer & Peng,public accountants,is negotiating a fee with a new audit client.They agree the client will pay $75 000 if Bayer & Peng issues a clean,unqualified opinion,$50 000 if a qualified opinion is issued,$40 000 if an adverse opinion is issued,and $10 000 if a denial of opinion is issued.
Violation? Yes No
C)Don Smith,public accountant,takes part in the audit of Shaw Corporation.Don is not a partner or a manager in the public accounting firm,and does not own any stock in Shaw Corporation.Don's five year-old daughter,Betty Lou,received one share of Shaw Corporation's common stock for her fifth birthday.The stock was a gift from Betty Lou's grandmother.Betty Lou treasures that share of stock and is absolutely unwilling to part with it.
Violation? Yes No
D)On August 5,2017,Page Dane,public accountant,issued the audit report on Borhut Corporation's June 30,2017 financial statements.On August 30,2017,Borhut paid Page's audit fee with stock rather than cash.Page sold the stock on September 15,2017,two months prior to the beginning of the planning phase for the audit of the June 30,2018,financial statements.
Violation? Yes No