Johnathan Smith $($CA$)$SA$,$ a seasoned Chartered Accountant in public practice, faces several ethical and professional dilemmas in his diverse portfolio of clients. Consider the following situations: Audit Engagement with Oakwood Creations $($Pty$)$ Ltd Johnathan recently completed the audit for Oakwood Creations, a company specializing in handcrafted furniture. The agreed audit fee was R$200,000.$ However, since Johnathan$$s firm is growing and he needs to furnish it$,$ he proposed an alternative arrangement: Oakwood would provide Johnathan with furniture worth R$120,000,$ and the remaining R$80,000$ would be paid in cash. Johnathan would invoice Oakwood R$80,000$ for the audit. Johnathan suggested Oakwood doesn$$t raise a sale in the company$$s accounting records and rather write off the amount of R$120,000$ as part of the allowance for obsolete inventory. Advisory Services on King IV Compliance for Oakwood Creations $($Pty$)$ Ltd In addition to his auditing services, Johnathan Smith $($CA$)$ SA provides advisory services to Oakwood Creations $($Pty$)$ Ltd$.$ Oakwood is not listed and therefore not mandated by law to comply with the King IV Report on Corporate Governance for South Africa, however, the company has chosen to voluntarily adopt the King IV principles to enhance their governance practices. Johnathan's role includes evaluating and advising on the composition and effectiveness of Oakwood's board, ensuring that governance practices align with the principles of ethical leadership, corporate citizenship, and stakeholder inclusivity as outlined in the King IV guidelines. His advisory services aim to enhance the governance framework at Oakwood, promoting transparency, accountability, and sustainable performance