Question 01 Warren Buffet, one of the business tycoons in present era said, Managers that always promise to make the numbers' will at some point be tempted to make up the numbers". The statement emphasis of having ethical persons as head of companies. If the CEO and strategic level management who practices fraud, they can twist earnings to make them look better than they really are, thereby deceiving the users of the financial statement a) Discuss the motive for earnings management with suitable examples (20 marks) (Maximum word count - 400 words) b) Evaluate earnings management from the utilitarian perspective. Can earnings management be an ethical practice? Explain why or why not. (10 marks) (Maximum word count - 200 words) Question 02 Assume you are facing an interview at an audit firm. A member of the interview panel asked you to justify the link between, moral intensity, ethical leadership, and organizational culture and how it will impact on the accounting firm? Craft a response that you feel comfortable by describing the characteristics of ethical leaders, the role of moral intensity in developing ethical organisations and evaluating the importance of ethical leadership in accounting firms with suitable examples. 30 marks (Word limit - 600 words)