Doris Sweeny, CPA, is engaged by the local municipal government to conduct periodic personal property tax audits of companies operating within the municipality. The property tax relates to business inventories, equipment, and machinery; thus. Sweeny will examine accounts and records related to sales, purchases, and gross profit percentages, among other things.

Ashton Manufacturing Company, a local producer of tool and die equipment, resents the fact that Sweeny is conducting the property tax audits because she also provides audit services to several competing tool and die manufacturing companies.

Ashton fears that Sweeny, while conducting the property tax audit, may encounter trade secrets beneficial to some of her audit clients. As a result, Ashton approaches the Ethics Division of the AICPA arguing that it is unethical for Sweeny to conduct its property tax audit.

Required: 

Does Sweeny violate the AICPA Code of Professional Conduct by conducting a property tax audit of Ashton, a tool and die equipment manufacturer, and by providing audit services to competing companies within the same industry? Explain.