The Manager of a Business Unit of a Large Corporation

question 77

Essay

The manager of a business unit of a large corporation made some projections regarding sales and profits for the upcoming final quarter of the year. The managers' performance evaluation and compensation depended significantly on his ability to meet budget goals. The manager discovered that the final quarter would have to be a particularly good quarter in order to meet these goals. He decided to implement a sales program offering liberal payment terms in order to pull some sales that would normally occur next year into the current year. Customers accepting delivery in the fourth quarter would not have to pay the invoice for 140 days. Also, he sold some equipment that was not being used and realized a significant profit on the sale.
Required:
Are these actions ethical? Why or why not?

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Definitions:

Nuclear Medicine

The use of radionuclides, or radioisotopes (radioactive elements or their compounds), to evaluate the bone, brain, lungs, kidneys, liver, pancreas, thyroid, and spleen; also known as radionuclide imaging.

Radioisotope

An atom with an unstable nucleus that emits radiation during its decay to a stable form.

Nonionizing Radiation

Radiation that has enough energy to move atoms around or make them vibrate, but not enough to ionize (remove charged particles such as electrons) atoms or molecules.

Radionuclide Imaging

A medical imaging technique using small amounts of radioactive material to diagnose or treat diseases.