Week 5 DQs Ethical Issue 22-1
1. Chapter 22: The Master Budget and Responsibility Accounting
2. Chapter 23: Flexible Budgets and Standard Costs
The Master Budget and Responsibility Accounting. From Chapter 22, Ethical Issue 22-1.
Ethical Issue 22-1
This case centers on the ethics of padding the budget—and whether the motivation for this action (personal gain or operational efficiency) makes a difference.
2. What are my options?
Dunn’s alternatives include:
3. What are the possible consequences?
Flexible Budgets and Standard Costs. What are the benefits of standard costs and how do businesses set those standards?
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