An engagement team has been established to audit YUH Corporation. YUH Corporatio

An engagement team has been established to audit YUH Corporation. YUH
Corporation engages in risking hedge fund investments in commodities: gold
and silver. The supervisor has asked that you apply an old valuation method that
you know is not correct. His explanation is that it worked in the past so it
will work now.You believe that the market has changed so much that valuation of the
underlying asset cannot be based on past performance. The ability to price to
market has been disqualified. The market is not normal. You propose a new
different method. Your model will lead to a higher valuation of the derivative
investment. Your supervisor has told you in no uncertain manner that to
disobey him will lead to future probation.