After reading what the CEO has asked me to do I have several issues
that i would need to bring up. Firstly he asks to capitalize on interest
from the 2015 period which only included planning. Interest cannot
begin to capitalize until building has actually begun, which is not until
2016. In order for capitalization we need expenditures for assets to
have started, any processes to get the asset ready for its use to have
begun, and incurred interest cost all have to be happening in order to
capitalize on interest. If one of these three things is not happening in
accordance with GAAP we cannot capitalize on interest. This seems
to be unethical and illegal to lie about when things began to happen.
As for when the CEO asks to include extra costs into the overhead,
he is trying to make the business look more profitable based on false
information. This is illegal to add false costs to anything to make it
look like your business is more successful, it misleads investors and
companies who would offer you loans. It seems the CEO does not
care about ethics and will more than likely bring his business and
employees down with him. I would not wish to work for someone
who has no regard for the law or others.
