Thus, ethically it is the responsibility of Jackson Daniel to report his errors to management. It is the legal right of all party concern to know that the budget previously presented was faulty and needs to be changed to save everyone from investing in a project that will not be profitable. Ethically as an employee who has made any error in his projection he has the susceptibility to report the errors to management, this will save investors of the entity from investing in a project base on a faulty budget.
He will also be saving management from any potential lawsuit from creditors. Ethically it is the duty of the employee to overlook his personal interest and consider the well being of the entity as a whole. Integrity should be major aspects of ethics that should influence any decision therefore, what ever the situation the employee should report the error to management.
If I was the employee there will be no reason why I should not report my errors to management because legally and ethically my profession encourages honest, trustworthy, credibility and competence in executing my duties.
Hence, it is expected of Daniel to act in accordance with the moral rule that requires honesty by telling the truth and disclosing all his projections to management. As a CPA it is Daniels responsibility to adhere to the CPA code of professional conduct. Ethically, his integrity should be the most important guide to whatever decision he has to make.
As a CAM his integrity, competence and credibility are the factors that are expected to guide his decisions when he’s faced with a dilemma as the situation he’s experiencing at present. The competence standard of the IMAM obligates Daniels to follow relevant laws, regulations and technical standards including GAP reporting. It is expected of him to ensure credibility of the projections submitted by him. Finally, Daniel should be obligated by the integrity standard to ensure that management is informed of any errors in his rejections.
Finally, Jackson Daniels should inform management about his errors it might save the entity a loss in their investment, he should also know that the justice principle require him to make projections that are fair hence, not making the right provisions violates the rights of the investors. The virtue of integrity requires him to withstand all temptation to keep quiet and come out and admit what he’s done even at the expense of his job. It is his duty to place the interest of the public ahead of all other interest.
Cite this essay on accounting
essay on accounting. (2018, May 06). Retrieved from https://graduateway.com/accounting-assignment-7/