Answered step by step
Verified Expert Solution
Link Copied!

Question

1 Approved Answer

I need solution Required information The following information applies to the questions displayed below. AccuSound Corporation manufactures pri nted circuits for stereo amplifiers. A common

image text in transcribed

image text in transcribed

I need solution

Required information The following information applies to the questions displayed below. AccuSound Corporation manufactures pri nted circuits for stereo amplifiers. A common product defect is drift caused by failure to maintain precise heat levels during the production process. Rejects from the 100 nt testing program can be reworked to acceptable levels if the defect is drift. However, in a recent nalysis of customer complaints, Marie Allen, the assistant controller, and the quality control engineer determined that normal rework does not bring the circuits up to standard. Sampling showed that about half worked circuits will fail after extended amplifier operation. The incidence of failure in the reworked of the re circuits is projected to be about 10 percent over five years ed circuits will fail, because testing will not detect Unfortunately, there is no way to determine which rework the problem. The rework process could be changed to correct the problem, but the cost-benefit analysis for the suggested change indicates that it is not economically feasible. Acc indicated that this problem will have a significant impact on the company's reputation and customer satisfaction. Consequently, the board of directors implications for the company's profitability uSound's marketing analyst has would interpret this problem as having serious negative included the circuit failure and rework problem in her report prepared for the upcoming quarterly wed a long meeting of the board of directors. Due to the potential adverse economic impact, Allen follo standing practice of highlighting this information. After reviewing the reports to be p manager and his staff complained to the controller that he should control his people better. "We rial. Tell Allen to tone that down. Maybe we can get i he board in t the board with this kind o meeting and have some time to work on it shouldn't expect them to last forever" . People who buy those cheap systems and play them that loud HOMEWORK The controiler called Allen into his office and said, Marie, you'll have to bury this one. The probable failure of reworks can be mentioned briefly in the oral presentation, but it should not be mentioned or highlighted in the advance material mailed to the board." Allen feels strongly that the board will be misinformed on a potentially serious loss of income if she follows the controller's orders. Allen discussed the problem with the quality control engineer, who simply remarked, That's your problem, Marie. Required 1. Choose the ethical considerations that Marie Allen should recognize in deciding how to proceed. (You may select more than one answer. Single click the box with the question mark to produce a check mark for a correct answer and double click the box with the question mark to empty the box for a wrong answer. Any boxes left with a question mark will be automatically graded as incorrect.) nt Allen should exercise initistive and good judgment in providing management with information having a potentially adverse Allen should determine whether the controlier's request violates her professional or personal standards or the company's code of Allen should protect preprietary information and should not violate the chain af command by discussing this matter with the aconomic impact. cthics controlers superiors Alien should not try to convince the controlier regarding the probable falure of raworks. Required information The following information applies to the questions displayed below. AccuSound Corporation manufactures pri nted circuits for stereo amplifiers. A common product defect is drift caused by failure to maintain precise heat levels during the production process. Rejects from the 100 nt testing program can be reworked to acceptable levels if the defect is drift. However, in a recent nalysis of customer complaints, Marie Allen, the assistant controller, and the quality control engineer determined that normal rework does not bring the circuits up to standard. Sampling showed that about half worked circuits will fail after extended amplifier operation. The incidence of failure in the reworked of the re circuits is projected to be about 10 percent over five years ed circuits will fail, because testing will not detect Unfortunately, there is no way to determine which rework the problem. The rework process could be changed to correct the problem, but the cost-benefit analysis for the suggested change indicates that it is not economically feasible. Acc indicated that this problem will have a significant impact on the company's reputation and customer satisfaction. Consequently, the board of directors implications for the company's profitability uSound's marketing analyst has would interpret this problem as having serious negative included the circuit failure and rework problem in her report prepared for the upcoming quarterly wed a long meeting of the board of directors. Due to the potential adverse economic impact, Allen follo standing practice of highlighting this information. After reviewing the reports to be p manager and his staff complained to the controller that he should control his people better. "We rial. Tell Allen to tone that down. Maybe we can get i he board in t the board with this kind o meeting and have some time to work on it shouldn't expect them to last forever" . People who buy those cheap systems and play them that loud HOMEWORK The controiler called Allen into his office and said, Marie, you'll have to bury this one. The probable failure of reworks can be mentioned briefly in the oral presentation, but it should not be mentioned or highlighted in the advance material mailed to the board." Allen feels strongly that the board will be misinformed on a potentially serious loss of income if she follows the controller's orders. Allen discussed the problem with the quality control engineer, who simply remarked, That's your problem, Marie. Required 1. Choose the ethical considerations that Marie Allen should recognize in deciding how to proceed. (You may select more than one answer. Single click the box with the question mark to produce a check mark for a correct answer and double click the box with the question mark to empty the box for a wrong answer. Any boxes left with a question mark will be automatically graded as incorrect.) nt Allen should exercise initistive and good judgment in providing management with information having a potentially adverse Allen should determine whether the controlier's request violates her professional or personal standards or the company's code of Allen should protect preprietary information and should not violate the chain af command by discussing this matter with the aconomic impact. cthics controlers superiors Alien should not try to convince the controlier regarding the probable falure of raworks

Step by Step Solution

There are 3 Steps involved in it

Step: 1

blur-text-image

Get Instant Access with AI-Powered 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

Students also viewed these Accounting questions