1. Assume you are the management accountant for Foleo Enterprises Pty Ltd. You are also a member of the CPA and are bound by the Code of Ethics for professional accountants. From this weeks case facts, identify a situation that would potentially cause you to breach one or more of the fundamental principles in this Code of Ethics. Explain 2 fundamental principles that you may be at risk of breaching in this situation.

2. Think about your role as a professional management accountant. If you were faced with the situation identified in Question 1, what would be your response? Explain using the 5-step ethical decision-making model. In Step 2, use the teleological theory only.