Examlex
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?
Q19: Page Company makes 30% of its
Q26: Which of the following items would not
Q59: One reason to allocate service department costs
Q65: With the reciprocal method,the total service department
Q83: Which of the following statements regarding accounting
Q89: Data Master is a computer software consulting
Q102: The Calculating Fashion Company has two
Q103: In an activity-based costing (ABC)system,what should be
Q124: Economic value added (EVA)adjustments are made to
Q146: Boston Corporation has two production Departments: Assembly