Lindsay Derick is the new division controller of the snack-foods division of TJG Foods. TJG Foods has reported a minimum 15% growth in annual earnings for each of the past 5 years. The snack-foods division has reported annual earnings growth of more than 20% each year in this same period. During the current year, the economy went into a recession. The corporate controller estimates a 10% annual growth rate for TJG Foods this year. One month before the December 31 fiscal year-end of the current year, Derick estimates the snack-foods division will report an annual earnings growth of only 8%. Bruce Jones, the snack-foods division president, is not happy, but he notes that the 'end-of-year actions' still need to be taken. Derick makes some inquiries and is able to compile the following list of end-of-year actions that were more or less accepted by the previous division controller: a. Deferring December's routine monthly maintenance on packaging equipment by an independent contractor until January of next year. b. Extending the close of the current fiscal year beyond December 31 so that some sales of next year are included in the current year. c. Altering dates of shipping documents of next January's sales to record them as sales in December of the current year. d. Giving salespeople a double bonus to exceed December sales targets. e. Deferring the current period's advertising by reducing the number of television spots run in December and running more than planned in January of next year. f. Deferring the current period's reported advertising costs by having TJG Foods' outside advertising agency delay billing December advertisements until January of next year or by having the agency alter invoices to conceal the December date. g. Persuading carriers to accept merchandise for shipment in December of the current year even though they normally would not have done so. 1. Derick is deeply troubled and reads the IMA Statement of Ethical Professional Practice. (This statement has been downloaded in Moodle. It can also be found in Exhibit 1.10, pg 23.) Classify EACH of the end-of-year actions (i.e., a-g) as acceptable or unacceptable according to the IMA statement. 2. What should Derick do if Jones suggests that these end-of-year actions are taken in every division of TJG Foods and that she will greatly harm the snack-foods division if she does not cooperate and paint the rosiest picture possible of the division's results?