Discussion Question:

What are job-order costing and process costing? What types of firms use job-order costing? Process costing? Explain how overhead is assigned to production when a predetermined overhead rate is used. Assume that a company has decided not to allocate any support department costs to producing departments. Describe the likely behavior of the managers of the producing departments. Would this be good or bad? Explain why allocation would correct this type of behavior.

Ethics Case: Credit Card Accounts Compromised

After reading the scandal below (Case "02"), share your thoughts about the scandal and what you think the ethical issues in this case are from the perspective of an accountant. Primeaux, E. (2020). Fraud Magazine. https://www.fraud-magazine.com/recap-article19.aspx?id=4295009428