Question: LMN Partners is negotiating with its audit client, Song Sam Distributors, for the audit fees for the coming year. The partner in charge of the

LMN Partners is negotiating with its audit client, Song Sam Distributors, for the audit fees for the coming year. The partner in charge of the Song Sam Distributors’ audit offers the company a discounted audit fee if it also gives all its tax consulting work to the firm.

Required

Explain whether the managing partner at LMN Partners should agree to approve the deal negotiated by the audit partner in charge of Song Sam Distributors’ audit.

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