C$7$: Discussion Mini Ethics Case

Ethics and professional conduct in business

During the preparation of the bank reconciliation for Regal Concepts Co$.,$ Misty Watts, the assistant controller, discovered that Windsor National Bank incorrectly recorded a $$15,750$ check written by Regal Concepts Co$.$ as $$1,575.$ Misty has decided not to notify the bank but wait for the bank to detect the error. Misty plans to record the $$14,175$ error as Other Income if the bank fails to detect the error within the next three months.

Discuss whether Misty is behaving in a professional manner.