Please share your own experience.

The situation is you are the newly hired Controller,

write a memo to the appropriate person in Guitierrez company detailing:

1) The ethical issue(s) in the above situation. Your responsibilities as a management accountant using the IMA Statement of Ethical Professional Practice as an ethical framework in your response. Imanet.org.

2) Analyze if the situation is different because Guitierrez is a publicly traded corporation versus being owned by one individual. Which stakeholders will be harmed by the slack proposed in the master budget and how?

3) Discuss how the goals of budgeting (as given in the text book) are being violated. What steps do you plan to take in this specific situation with the Master Budget prepared by you?

4) Discuss the actions requested of the recipient of this memo.