Answered step by step
Verified Expert Solution
Link Copied!

Question

1 Approved Answer

Earl Farr, Mandy Wells, and Rob Good are clerks in a busy doctor's office. One of Earl's responsibilities is to reconcile the bank statement. He

Earl Farr, Mandy Wells, and Rob Good are clerks in a busy doctor's office. One of Earl's responsibilities is to reconcile the bank statement. He isn't involved in authorizing payments, writing checks, or making deposits. Ron is the accounts receivable clerk. He posts all payments and makes bank deposits. Occasionally, when he gets busy, Earl asks Ron to perform the monthly bank reconciliation. After it is reconciled, Earl initials it as though he had done it. Mandy, who is charge of accounts payable, has been observing Earl and Ron and is considering saying something to their supervisor, the office manager. Mandy is sure the office manager is unaware of what is going on.

Is what Earl and Ron doing unethical?

If Mandy chooses not to say anything to the office manager, is she being unethical?

Step by Step Solution

3.34 Rating (148 Votes )

There are 3 Steps involved in it

Step: 1

ReconciliationIn accountingreconciliation is the process of matching the records and ... 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

Accounting Principles

Authors: Jerry J. Weygandt, Paul D. Kimmel, Donald E. Kieso

9th Edition

978-0470317549, 9780470387085, 047031754X, 470387084, 978-0470533475

More Books

Students also viewed these Accounting questions

Question

Define deamination, and explain its importance.

Answered: 1 week ago

Question

Solve for the unknown.AppendixLO1 a. x - 1 = 80 b. 4(x+7)=44

Answered: 1 week ago

Question

What is meant by the term operating cycle?

Answered: 1 week ago