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C1. Les Pulaski is the supervisor of a new division of Innovation Corporation. Her annual bonus is based on the success of new products and
C1. Les Pulaski is the supervisor of a new division of Innovation Corporation. Her annual bonus is based on the success of new products and is computed on the number of sales that exceed each new products projected breakeven point. In reviewing the computa- tions supporting her most recent bonus, Pulaski found that although an order for 7,500 units of a new product called R56 had been refused by a customer and returned to the company, the order had been included in the bonus calculations. She later discovered that the companys accountant had labeled the return an overhead expense and had charged the entire cost of the returned order to the plantwide Overhead account. The result was that product R56 appeared to exceed breakeven by more than 5,000 units and Pulaskis bonus from this product amounted to over $1,000. What actions should Pulaski take
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