The president of the company came to the controller at the end of the fiscal year. He says, “We’ve had a pretty bad year. Sales have been off, but I think we’ll do better next year. Can you do something about the annual financial report to make us look a little better and get us through until next year? Otherwise, I might get fired.”

a. What can the controller do to make the annual financial report look better?

b. What other factors should the controller consider in responding to the president?