Accounting I Ethic Case - 1 Recording Expense Entries - The controller for Anderson Electric, Ron Foss, is reviewing the year-end adjusting entries prepared by the accounting staff for approval before they are posted to the general ledger. Angela Bennett, the company president, has suggested the December accrual for wage expense be delayed until January because the company needs to report a higher net income for the year. The December 31 financial statements will be reviewed for a loan by the bank. The company has a better chance of getting the loan if its net income is higher, and the loan will have a lower interest rate if the company appears to be healthy. Ron is unsure whether he should comply with the president's request. It doesn't seem to Ron that it is terribly important whether the expense is recorded in December or January. Ron knows that the company needs the loan to continue paying the salaries next year, so he does not want to do anything to jeopardize his own salary. Required Lising the thic Case Guidelines write a memo with your response Blackhawk Technical College Accounting Program Ethical Dilemma Outline Step 1: Dilemma - Restate the facts and identify the dilemma. The ethical dilemma here is ... Step 2: Stakeholders - Identify the parties that would be affected and what the possible results could be depending on the action taken. List the parties benefited and how they are affected. 1. 2. 3. 4. List the parties harmed and how they are affected. 1. 2. 3. 4. M Step 3: Guiding rules/principles/standards - what are the resources that could be used to make an informed decision? 1. 2. 3. 4. Step 4: Alternatives - Identify all actions that could be taken (even ones you would not recommend). Remember, there could be more than two choices! List all alternatives: 1. 2. 3. Explain how each alternative will affect each of the interested parties: Step 5: Recommendation - Choose the best alternative and justify. The best alternative is because it Step 3: Guiding rules/principles/standards - what are the resources that could be used to make an informed decision? 1. 2. 3. 4. ... Step 4: Alternatives - Identify all actions that could be taken (even ones you would not recommend). Remember, there could be more than two choices! List all alternatives: 1. 2. 3. Explain how each alternative will affect each of the interested parties: Step 5: Recommendation - Choose the best alternative and justify. The best alternative is because it Ethical Dilemma Outline Step 1: Dilemma - Restate the facts and identify the dilemma. The ethical dilemma here is ... Step 2: Stakeholders - Identify the parties that would be affected and what the possible results could be depending on the action taken. List the parties benefited and how they are affected. 1. 2. 3. 4. List the parties harmed and how they are affected. 1. 2. 3. 4. . Accounting I Ethic Case - 1 Recording Expense Entries - The controller for Anderson Electric, Ron Foss, is reviewing the year-end adjusting entries prepared by the accounting staff for approval before they are posted to the general ledger. Angela Bennett, the company president, has suggested the December accrual for wage expense be delayed until January because the company needs to report a higher net income for the year. The December 31 financial statements will be reviewed for a loan by the bank. The company has a better chance of getting the loan if its net income is higher, and the loan will have a lower interest rate if the company appears to be healthy. Ron is unsure whether he should comply with the president's request. It doesn't seem to Ron that it is terribly important whether the expense is recorded in December or January. Ron knows that the company needs the loan to continue paying the salaries next year, so he does not want to do anything to jeopardize his own salary. Required Lising the thic Case Guidelines write a memo with your response