Week 2 DQ - Read the Ethical Dilemma, Profitability Versus...

Info iconThis preview shows pages 1–2. Sign up to view the full content.

View Full Document Right Arrow Icon
Read the Ethical Dilemma, Profitability Versus Social Conscience (effects of cost behavior), on p. 790 in Fundamental Financial & Managerial Accounting Concepts . Did Mr. Borrough’s decision violate any of the Standards of Ethical Conduct for Management Accountants in Exhibit 14.13 on p. 712? If so, which code did he violate? Do you believe this practice is ethical? Why or why not? I think that Borrough’s violated the Standards of Ethical Conduct for Management Accountants because he did not disclose fully all relevant information that could reasonably be expected to influence an intended user’s understanding of the reports, comments, and recommendations presented. By not telling the consumers about the lower yield rate and taste difference of Bio Lab’s corn, Borrough’s is deceiving the consumers. He is only showing the good side to Bio Lab’s corn – therefore, he is violating another standard – communicate unfavorable as well as favorable information and professional judgments or opinions.
Background image of page 1

Info iconThis preview has intentionally blurred sections. Sign up to view the full version.

View Full DocumentRight Arrow Icon
Image of page 2
This is the end of the preview. Sign up to access the rest of the document.

This note was uploaded on 07/11/2011 for the course ACC 543 taught by Professor Fredjohnston during the Spring '10 term at University of Phoenix.

Page1 / 3

Week 2 DQ - Read the Ethical Dilemma, Profitability Versus...

This preview shows document pages 1 - 2. Sign up to view the full document.

View Full Document Right Arrow Icon
Ask a homework question - tutors are online