When Faced with a Potential Ethical Conflict, the Managerial Accountant

question 37

True/False

When faced with a potential ethical conflict, the managerial accountant should first consult any internal procedures of that organization.

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Definitions:

Abstractions

The process of extracting the underlying essence or general principles of a concept, situation, or phenomenon, often by neglecting concrete details.

Physical Sciences

Branches of science that study inanimate natural objects, including astronomy, chemistry, physics, and earth sciences.

Other-Things-Constant Assumption

The assumption, when focusing on the relation among key economic variables, that other variables remain unchanged; in Latin, ceteris paribus.

Rational Self-Interest

Each individual tries to maximize the expected benefit achieved with a given cost or to minimize the expected cost of achieving a given benefit.