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    sherlita_thompk's Avatar
    sherlita_thompk Posts: 5, Reputation: 1
    New Member
    		  
    #1

    Feb 24, 2009, 07:48 AM
    Ethical Issue
    On a recent trip to Africa, J.T. Brown, sales manager of Prompt Technology, took his wife along at company expense. Linda White, vice president of sales and Brown's boss, though this travel and entertainment expenses seemed excessive. But White approved the reimbursement because she owed Brown a favor. White was aware that the company presidnet reviews all expenses recorded in the cash payments journal, so White recorded Brown's wife's expenses in the general journal as follows:

    Sales Promotion Expense 9,100

    Cash 9,100.
    What is the ethical issue in this situation? What role does accounting play in this issue?
    Curlyben's Avatar
    Curlyben Posts: 18,514, Reputation: 1860
    BossMan
    		  
    #2

    Feb 24, 2009, 07:50 AM
    Thank you for taking the time to copy your homework to AMHD.
    Please refer to this announcement: Ask Me Help Desk - Announcements in Forum : Homework Help
    pready's Avatar
    pready Posts: 3,197, Reputation: 207
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    #3

    Feb 24, 2009, 10:13 AM

    Brown is stealing from the codefrauding his company because he used the company to repay him for his wife's travel expenses.

    Brown basically stole cash from his company.
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