Ethics in Accounting 1 HW

Pad F 7:36 PM 57% rowan blackboard com Ethics in Accounting Homework Assignment Principles of Accounting I Please read the scenario below carefully, and answer the questions completely. Be sure to answer all parts of each question Scenario Nancy Drew is the assistant head accountant at Mystery Company, a manufacturer of juvenile novels. The company presently has total sales of $20 million. It is the end of the first quarter. Nancy is hurriedly trying to prepare a trial balance so that quarterly financial statements can be prepared and released to management and the regulatory agencies. The total credits o the trial balance excel the debits by $1,000. In order to meet th 4 p.m. deadline, Nancy decides to force the debits and credits into balance by adding the amount of the difference to the Equipment account. She chooses Equipment because it is one of the larger account balances; percentage-wise, it will be the least misstated. Nancy "plugs'' the difference! She believes tha the difference will not affect anyone's decisions. She wishes that she had another few days to find the error but realizes that the financial statements are already late