According to the ethical standards of the profession, which
of the following acts is generally prohibited?

(c) The requirement is to determine which act is generally
prohibited. Answer (c) is correct because “a member in public
practice shall not for a commission recommend or refer to a
client any product or service, or for a commission recommend or
refer any product or service to be supplied by a client, or receive a
commission when the member or the member’s firm perform for
that client: (1) an audit of a financial statement; or (2) a compilation
of a financial statement when the member expects that a
third party will use the financial statement and the member’s
compilation report does not disclose a lack of independence; or
(3) an examination of prospective financial information.” Answer
(a) is incorrect because a member may purchase a product
and resell it to a client. Any profit on sale would not constitute a
commission (ET 591).