Ch 2 ED - (Christmas and New Year) would definitely impact...

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Ethical Dilemma In short, the boss is asking for you to lie on an income statement and not record any bills until the start of the year. While he is making this seem like he’s trying to help you out, the main reason he is doing this is to gain a larger compensation benefit. Lastly, he is almost guaranteeing you a raise if you were to let the expenses slide. Basically, this is just plain illegal. To not record any of the expenses would be a misrepresentation of the company. Dropping off these figures during a busy season
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Unformatted text preview: (Christmas and New Year) would definitely impact the look of the company and influence peoples opinion about investing in the company. This is the same way that many big-name company scandals have happened (or at least started), so allowing this to happen would endanger the company. So unless a potential raise is worth breaking the law and putting the company in danger, Id say to follow GAAP and record the expenses....
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This note was uploaded on 04/09/2008 for the course ACCT 042 taught by Professor Turlow during the Fall '07 term at Drake University .

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