Answered step by step
Verified Expert Solution
Link Copied!

Question

1 Approved Answer

1) Ethics Case: Maha Al-Safi is the assistant chief accountant at Board Company, a manufacturer of computer chips and mobile phones. The company at present

image text in transcribed
1) Ethics Case: Maha Al-Safi is the assistant chief accountant at Board Company, a manufacturer of computer chips and mobile phones. The company at present has total sales of $20 million. It is the end of the first quarter of the year. Maha is quickly trying to prepare a trial balance so that the quarterly financial statements can be prepared and submitted to management and the regulatory agencies. The total credit in the trial balance exceeds the debits by $1,000. In order to meet the 4 p.m. deadline, Maha decides to force the debits and credits to be equal by adding the difference of $1,000 to the Equipment account. She chose Equipment because it is one of the larger account balances and percentage wise it will be the least misstated. Maha plugs the difference! She believes that the difference will not affect anyone's decisions. She wishes that she had another few days to find the error but realizes that the financial statements are already late. Instructions a) Who are the stakeholders in this situation? (10 points) b) What are the ethical issues involved in this case? (10 points) c) What are Maha's alternatives? (15 points)

Step by Step Solution

There are 3 Steps involved in it

Step: 1

blur-text-image

Get Instant Access to Expert-Tailored Solutions

See step-by-step solutions with expert insights and AI powered tools for academic success

Step: 2

blur-text-image

Step: 3

blur-text-image

Ace Your Homework with AI

Get the answers you need in no time with our AI-driven, step-by-step assistance

Get Started

Recommended Textbook for

Managerial Accounting Tools For Business Decision Making

Authors: Jerry J. Weygandt, Paul D. Kimmel, Jill E. Mitchell

9th Edition

111970958X, 9781119709589

More Books

Students also viewed these Accounting questions

Question

please dont use chat gpt or other AI 6 8 5 . .

Answered: 1 week ago

Question

4. How would you deal with the store manager?

Answered: 1 week ago