In preparing the corporate tax returns for a client, Phyllis Allen, public accountant, observed that the deductions for contributions and interest...

In preparing the corporate tax returns for a client, Phyllis Allen, public accountant, observed that the deductions for contributions and interest were unusually large. When she asked the client for backup information to support the deductions, she was told, Ask me no questions and I will tell you no lies. Allen completed the return on the basis of the information acquired from the client.