Essay Topic:

Case 1-8 Shifty Industrie

Name

Institution

Date

1.  What values are most important to you in deciding on a course of action? Why?

The shifty industry is a small scale business that deals with beauty products in California. Some of the values which are important in the course of action decision are as follows. The errors that are supposed to happen in the business might not affect the business operation that much but it should be reported. This is because; the field of accounting should be full of integrity for any organization. Therefore, the accountant needs to report since human beings are prone to errors and this will also help in doing auditing. Integrity will bring some trust of the accountant to the business and this will allow the business to grow since the public will also see the good image represented by the business employees.

2.  Who are the stakeholders in this case and how might they be affected by your course of action?

In this case of course of action, the stakeholders who might be affected are the employees, IRS, and the business clients. In case the accountant ends up reducing some dollars from the cost, the company will have to enjoy the huge benefits from the cost reduction. This will make the IRS, the employees, and the clients of the company to benefit from the profit as well. On the other hand, the shareholders will also enjoy due to the fact that the business will generate much from the projected sales. 

3.  What would you do and why, assuming your approach will be based on the application of the ethical reasoning methods discussed in the chapter?

           Following the situation, there are some of the recommendations that I would have done. As a person with good moral behaviors and values, I am aware the tax is a must and should be paid. This will still bring me good in my life since the government still uses the collected tax money to work for the people and deliver the services to the people hence I will still enjoy it. Secondly, in ethics, it is not good if an accountant does an improper accounting and taxing. This is because it is not ethical and as per the standards of accounting. Hence we should all act ethically in all our work stations.  

Question: 

In this case, which of the following reason lead the manager of the accountant to be so much concerned about the improper taxing?

 

1. To help in competition

2. Personal gain

3. Selfish interest

4. To help the company