Amd Mini Case Study
ACC1AMD Accounting for Management Decisions Semester 1, 2013 Mini Case Study 1 Mercer Manufacturing Company Rui Guo 17482279 Tutorial: Tuesday 12:00PM Tutor: Luisa 24 March 2013
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Table of Contents
Recommendation Executive Summary Introduction Analysis Recommendation and conclusion Reference
Page 3 Page 3 Page 3 Page 3 Page 4 Page 5
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Recommendation
Mercer Manufacturing Company decided to purchasing power from other company, and it could provide a $300,000 saving per year.
Executive Summary
Mercer Manufacturing Company would decide a new project, which is purchasing the power from a local utility company instead of internal production, and it would provide a $300,000 saving per year. Jennifer Ritchie, CPA and financial controller for the company, should report the result to Bill Rintoul(CEO) faithfully according to the Code of Ethics for Professional Accountants.
Introduction
Jennifer Ritchie is the CPA and financial controller for Mercer Manufacturing Company. David Jenner is the manager of the company’s power department. In addition, then tend to get marry. Jennifer obtained the news of company may purchase power from a local utility company from last executive meeting, and she told to David.
Analysis
(1) Jennifer told David about the impending decision concerning the power department. (2) Jennifer was influenced by David’s profits and opinions
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According to APES 110 Code of Ethics for Professional Accountants:
(a) Jennifer broke the ethic code of confidentiality which involves Disclosing outside the Firm or employing organisation confidential information acquired as a result of professional and business relationships without proper and specific authority or unless there is a legal or professional right or duty to disclose; and using confidential information acquired as a result of professional and business relationships to their personal advantage or the advantage of third parties.
(b) If Jennifer reports the actual
1
Table of Contents
Recommendation Executive Summary Introduction Analysis Recommendation and conclusion Reference
Page 3 Page 3 Page 3 Page 3 Page 4 Page 5
2
Recommendation
Mercer Manufacturing Company decided to purchasing power from other company, and it could provide a $300,000 saving per year.
Executive Summary
Mercer Manufacturing Company would decide a new project, which is purchasing the power from a local utility company instead of internal production, and it would provide a $300,000 saving per year. Jennifer Ritchie, CPA and financial controller for the company, should report the result to Bill Rintoul(CEO) faithfully according to the Code of Ethics for Professional Accountants.
Introduction
Jennifer Ritchie is the CPA and financial controller for Mercer Manufacturing Company. David Jenner is the manager of the company’s power department. In addition, then tend to get marry. Jennifer obtained the news of company may purchase power from a local utility company from last executive meeting, and she told to David.
Analysis
(1) Jennifer told David about the impending decision concerning the power department. (2) Jennifer was influenced by David’s profits and opinions
3
According to APES 110 Code of Ethics for Professional Accountants:
(a) Jennifer broke the ethic code of confidentiality which involves Disclosing outside the Firm or employing organisation confidential information acquired as a result of professional and business relationships without proper and specific authority or unless there is a legal or professional right or duty to disclose; and using confidential information acquired as a result of professional and business relationships to their personal advantage or the advantage of third parties.
(b) If Jennifer reports the actual
References: APESB. (2010). APES 110 Code of Ethics for Professional Accountants issued in June 2006 and subsequently amended in February 2008. (PP. 17-22). Retrieved from http://www.apesb.org.au/issued-standards 5