=+5-41 KK Job costing, contracting, ethics Jack Halpern is the owner and CEO of Aerospace Comfort, a firm specialising in the manufacture of seats for aeroplanes. He has just received a copy of a letter written to the general audit section of the RAAF. He believes it is from an ex-employee of Aerospace Comfort.

Dear Sir, Aerospace Comfort manufactured 100 X7 seats for the RAAF in 2014. The following may be of interest.

1 Direct materials costs billed for the 100 X7 seats were $25000.