Answered step by step
Verified Expert Solution
Link Copied!

Question

1 Approved Answer

Manoj Ravjee, registered with SAICA as a chartered accountant in business, is the recently appointed financial accountant at Raintech (Pty) Ltd, a water purification and

Manoj Ravjee, registered with SAICA as a chartered accountant in business, is the recently appointed financial accountant at Raintech (Pty) Ltd, a water purification and irrigation company. The company is a wholly owned subsidiary of Hydroworks Ltd, a listed company. One of his duties is to prepare the annual financial statement for submission to the holding company. These annual financial statements are used in the calculation of bonuses which are paid to management including executive directors at the subsidiary. On presenting the March 2019 figures to Willy Hagen, the financial director of Raintech (Pty) Ltd, Wily Hagen suggested to Manoj Ravjee that he go and work on the figures to reflect a far better profit for the year, reminding him that the management bonuses depended on the profit reflected. On protesting that he could not manipulate the figures, Willy Hagen replied I suggest you do as I say. On his way back to his office Manoj Ravjee decided to discuss the matter with Dave Vance, also a chartered accountant employed by Raintech (Pty) Ltd. His response was Manoj, just do it. You are not in the profession now. Hagen will fire you if you dont do what he says just look on the bright side, our bonuses will be bigger. Besides its not as though you are stealing! In any event who will ever know the auditors they send here are pretty inexperienced and you can tell them anything you like! REQUIRED Based on the information provided above discuss: The situation in which Manoj Ravjee finds himself in relation to the SAICA Code of Professional Conduct. Dave Vances attitude to professional ethics. The action Manoj Ravjee could take assuming that he is not prepared to comply with Willy Hagens instructions.

Step by Step Solution

There are 3 Steps involved in it

Step: 1

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

Produktivitat Von Dienstleistungen

Authors: Klaus Moller, Wolfgang Schultze

3rd Edition

3658040858, 9783658040857

More Books

Students also viewed these Accounting questions

Question

=+How is visual information organized into objects?

Answered: 1 week ago

Question

Is this public actively seeking information on this issue?

Answered: 1 week ago

Question

How much loyalty does this public have for your organization?

Answered: 1 week ago

Question

How influential does the organization see this public as being?

Answered: 1 week ago