Accounting 430 Assignment 1
Ethical Issue Executive Overview
By: HARRY PAYE
Week 1 Assignment
This case is around Jackson Daniels a CERTIFIED PUBLIC ACCOUNTANT who is facing an honest dilemma as a result of discovery the budget this individual prepared to get management to increase a particular project was defective and the forecasted values had been overstated. Lawfully the rendering of the job on this faulty budget has got the potential to reveal management to possible court action from lenders who assume that they were deceived, it also will surely cost management to finance task management that will not end up being profitable as expected and traders might damage confidence in management due to inefficiencies ruining the reputation of managing. Thus, ethically it is the responsibility of Knutson Daniel to report his errors to management. It's the legal right of party matter to know the budget previously presented was faulty and wishes to be changed to save everybody from purchasing a project that wont be lucrative.
Ethically as an employee who has made any mistake in his output he gets the responsibility to report the errors to management, this will likely save investors of the entity from purchasing a project foundation on a defective budget. He may also be conserving management from any potential lawsuit from creditors. Ethically it is the obligation of the employee to ignore his personal interest and consider the well being of the business as a whole. Integrity should be key aspects of ethics that should influence any decision therefore , which ever the situation the employee should report the mistake to supervision. If I was your employee there will be no good reason that I should certainly not report my personal errors to management mainly because legally and ethically my own profession promotes honest, trustworthy, credibility and competence in executing my own duties. Therefore, it is expected of Daniel to act in accordance with the meaning rule that needs honesty by telling the truth and disclosing all his projections to administration.
As a CPA it is Daniel's responsibility to...