United Thermostatic Controls
Ethics Case 3-3: United Thermostatic Controls
Abstract
As the case study revealed, United Thermostatic Controls has an ethical dilemma it is considering. United Thermostatic Controls is contemplating finagling sales number in order to meet the Southern Division’s budget. A member of this organization has pressured the accounting department to disregard the wishes of its customers, and deliver product before the agreed upon date so that the revenue can be recorded in the current fiscal year. Before any decision is made, all of the rules and regulations in place to guide accountants should be considered, as well as the local, state, and federal laws in place.
Ethics Case 3-3: United Thermostatic Controls United thermostatic Controls are faced with falling short of the projected figure for the current fiscal year. Frank Campbell, the Director so Sales for the Southern Region is attempting to manipulate the delivery of product in order to pad his region’s revenue figures. This is unethical in several ways. Aside from going against the specific wishes of their customers regarding delivery dates, these acts are wrong and selfish. The biggest motivating factor for manipulating the revenue before the end of the current fiscal year is the amount of compensation and bonuses that will be realized if the revenue goals are met.
Legal Issues Involved There are several laws, and regulations in place that should be adhered to by everyone, especially accounting professionals. There are several sets of rules and regulations that are in place to protect the public, as well as to protect accounting professionals some of the laws that accountants must comply with are the Sarbanes-Oxley Act of 2002, the AICPA Code of Professional Conduct, and Generally Accepted Accounting Principles (GAAP). . There are local, state, and federal laws that may come into play. The Sarbanes-Oxley Act is a set of guidelines that
Abstract
As the case study revealed, United Thermostatic Controls has an ethical dilemma it is considering. United Thermostatic Controls is contemplating finagling sales number in order to meet the Southern Division’s budget. A member of this organization has pressured the accounting department to disregard the wishes of its customers, and deliver product before the agreed upon date so that the revenue can be recorded in the current fiscal year. Before any decision is made, all of the rules and regulations in place to guide accountants should be considered, as well as the local, state, and federal laws in place.
Ethics Case 3-3: United Thermostatic Controls United thermostatic Controls are faced with falling short of the projected figure for the current fiscal year. Frank Campbell, the Director so Sales for the Southern Region is attempting to manipulate the delivery of product in order to pad his region’s revenue figures. This is unethical in several ways. Aside from going against the specific wishes of their customers regarding delivery dates, these acts are wrong and selfish. The biggest motivating factor for manipulating the revenue before the end of the current fiscal year is the amount of compensation and bonuses that will be realized if the revenue goals are met.
Legal Issues Involved There are several laws, and regulations in place that should be adhered to by everyone, especially accounting professionals. There are several sets of rules and regulations that are in place to protect the public, as well as to protect accounting professionals some of the laws that accountants must comply with are the Sarbanes-Oxley Act of 2002, the AICPA Code of Professional Conduct, and Generally Accepted Accounting Principles (GAAP). . There are local, state, and federal laws that may come into play. The Sarbanes-Oxley Act is a set of guidelines that