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QUESTION 11 Scenario: Activewear sells sporting goods and equipment at 100 stores throughout Australia, Robert Manning is the manager of one Actor in Melbourne. The

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QUESTION 11 Scenario: Activewear sells sporting goods and equipment at 100 stores throughout Australia, Robert Manning is the manager of one Actor in Melbourne. The company is in the planning phase of establishing its operating budget for this coming year and has asked that wil store managers themates of sales revenue, costs, and resulting profit. During the control phase, each store manager is evaluated by comparing budgeted profit with a groft Store managers who exceed budgeted profit are given a bonus equal to 10 percent of actual profit in excess of budgeted profit a. Describe the ethical conflict that Robert Manning is facing 16 Marks) b. Suggest TWO steps the chief financial officer of Activewear can take to motivate Robert Manning to provide an accurate operating budget 16 marks)

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