For the following scenario, evaluate whether the situation involves possible violations of the AICPA's Code of Professional Conduct. State:

1) The relevant rule or interpretation that applies to this scenario (Rule number and title);

2) Whether there is a violation of the Code (yes or no); and

3) The rationale in deciding whether there is a violation.

A CPA firm has incorporated and started providing public accounting services. The only shareholders in the corporation are existing employees of the organization, including partners, staff who are CPAs, staff who are not CPAs, and administrative personnel.