One ethical issue that prevails in Jack’s case is the conflict of interest regarding the moral uprightness in professional undertakings. Apparently, there are conflicting values as to whether Jack should prioritize professional integrity, or whether he should prioritize the interests of his superiors. Apparently, changing the peer group would undervalue ABC Lighting and increases the potential of upsetting superiors, especially the managing director and the client; hence compromising Jack’s prospects of being touched by the investment bank after graduation. On the contrary, knowingly inflating the value of the company constitutes the lack of integrity in duty performance. In essence, conflicts of interest emerge whenever employees feel obliged to please and respect a rigid chain of command within an organization. When under conflicts of interest, employees are expected to uphold the ethical principle of integrity.Apparently, the investment bank has an extremely strict chain of command. In such organizational cultures, subordinate employees can only report to their immediate superiors. Therefore, Jack should report the issue to David, his Associate. As a financial analyst, Jack is professionally obliged to perform his duties in an objective and accurate manner. Therefore, he should mention that to the best of his knowledge, the peer group selected for the valuation exercise by his Associate is not accurate, and that he is technically conflicted as to whether due diligence should be followed in selecting companies to form the right peer group.