...heavy competition in the businesses industry. Terry Reed the businesses CFO has realized the business is not going to meet the years estimated earnings, which can cause problems meeting financial responsibility to the stakeholders. Terry Reed found a transaction which can help the business meet the financial responsibility; however, in order to apply the transaction, he must first find a legal and ethical way off reporting the transaction on the financial report. The transaction in question, the product was sold on December 20, 2010 for $1.2 million; however, the receiver of the product is not able to take control of this product until January 11, 2011. Terry Reed needs to find a way to record the transaction before December 31, 2010 in order to meet their obligations. The accounting principle for reporting on the financial statements is the product must be posted in the quarter the product leaves the warehouse. (Mintz, S., Morris, R.E, 2011). In the accounting world, there are several different agencies, which regulate the reporting of financial statements. These rules and regulations protect the stakeholders and public from any wrong, fraudulent reporting and unethical behavior. The main agencies are (SOX), Sarbanes and Oxley Act of 2002, (GAAP), Generally Accepted Accounting Principles and the AICPA Code of Professional Conduct. In order for Terry Reed, and his accounting team to come up with a viable solution to their reporting dilemma, they must follow the rules and regulations...
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...Analysis of an Ethical Dilemma Part 2 Gary Bigge, Diana Hanakahi, Jennifer Lockwood, Sheryl Murray, Alex Warkenthien Grand Canyon University Ethics NRS 437V Linnette Nolte March 3, 2013 Analysis of an Ethical Dilemma Part 2 As a continuation of a previous study, the Grand Canyon University Team White Ethics Committee further examines the dilemma of euthanasia. Four individual personal interviews were conducted and the results are included below. The Team White Ethics Committee has been tasked with the challenge of comparing similarities and differences between the cases we have studied and making a recommendation on each case based on our interviews and personal beliefs. The first case was Dax (Busada, 2011) and the second case was Terry Schiavo (Springs, 2009). Interview #1 To receive a spiritual leader’s perspective about euthanasia, Pastor Sandy Ash of Harbor Chapel Community Church in Moss Landing, California was interviewed. The interview started by giving Pastor Ash a brief background regarding both the Dax and Terry Schiavo stories. When asked about her view on euthanasia, Pastor Ash stated, “If it’s a person who doesn’t want to live then there’s still hope and they shouldn’t give up since there is no machine keeping them alive. There’s a lot to live for” (Ash, 2013). Pastor Ash also added, “It depends on what stage. If there’s a machine then the person should let them go if they want to go, if that’s their wish” (Ash, 2013). With Terry’s case, she...
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...Managers’ Ethical Evaluations of Earnings Management and Its Consequences* ERIC N. JOHNSON, University of Wyoming GARY M. FLEISCHMAN, University of Wyoming SEAN VALENTINE, University of North Dakota KENTON B. WALKER, University of Wyoming 1. Introduction and motivation The purpose of this study is to investigate, in an experimental setting, how favorable versus unfavorable organizational consequences influence managerial responses to an employee’s earnings management behavior. We focus on the following question: Do the ends of positive organizational consequences justify the means of earnings management? Earnings management is defined as ‘‘the choice by a manager of accounting policies so as to achieve specific objectives’’ (Scott 2003: 369). Earnings management can be fundamentally classified as either accounting related, involving the manipulation of accounting records through aggressive or fraudulent applications of accounting principles, or operating related, involving choices made by management regarding the timing of investment or operating activities, with the result that reported earnings are influenced by these choices (Lev 2003; Cohen, Dey, and Lys 2008; Roychowdhury 2006; Gunny 2010).1 The effect of earnings management on the value of the firm and the related issues of financial-based incentives for managing earnings has been widely examined in the accounting literature (e.g., Healy 1985; Dechow, Sloan, and Sweeney 1995, 1996; Healy and Wahlen 1999; Fields...
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...The Ethicality of Excello Telecommunications Cody S. Smith ETH/376 April 22, 2013 Ding Hardin The Ethicality of Excello Telecommunications Excello Telecommunications has been a profitable company for many years, but recently the competitive landscape has become tougher. Competition from overseas manufacturers has lowered Excello’s market share and profits. For the first time it looks as is Excello will not meet earnings estimates. This information directly impacts bonuses, stock options, and the company’s share price. Top level management is concerned about the extent this impact will have on the company. This paper will serve to determine the ethicality of Excello’s actions and demonstrate what ethical standards and regulations are acceptable under GAAP. Possible Solution and Dilemma Terry Reed, the chief financial officer, uncovered a transaction on December 20, 2010 that might solve the problem. Excello sold $1.2 million of equipment to Data Equipment Systems. Typically this type of transaction would be recorded as a sale on the date of shipment. However, Data Systems has requested that the equipment not be delivered until January 11, 2011, because Data Systems did not have the warehouse availability for the product. Ethical Standards and GAAP Excello is faced with a serious problem. The company must record this revenue for the period ending 2010, but the transaction is not set to complete until 2011. The first issue that must be detailed is how and when revenue...
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...Running head: ANALYSIS OF AN ETHICAL DILEMMA Analysis of an Ethical Dilemma in Society Geana Terry Grand Canyon University NRS 437V May 8, 2011 Analysis of an Ethical Dilemma in Society Nurses and society are faced with ethical dilemmas on a daily basis. Ethical dilemmas are difficult situations that have conflicting moral claims and can cause great distress to those who face the problem. In dealing with ethical dilemmas we use a systematic process which aids us in determining a reasonable solution to the dilemma. It is important to use not only an emotional perspective but an objective and cognitive perspective as well. Combining our values and morals in our decision making will have a huge impact in the end result of our decision. A recent event that has happened in our society involves a parent who has given his toddler liquid cannabis without doctor knowledge. This situation was aired on ABC News on May 5, 2011. The article is titled “Montana Dad Gives Cancer-Stricken Boy Marijuana Behind Doctor’s Back” (James, 2011). A two year old child named Cash was diagnosed with a stage four brain tumor. He lived in Montana and was taken to Salt Lake City, Utah for extensive chemo therapy treatment. He suffered septic shock, a stroke, and a pulmonary hemorrhage. The child was extremely sick and went 40 days without eating. Due to the nature of his illness his body was shutting down and the family was frightened. Doctors were doing everything possible...
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...A whistle-blower’s lawsuit alerts Galvatrens to deep flaws in its system for uncovering misconduct. How should management and the board respond? HBR CASE STUDY Why Didn’t We Know? by Ralph Hasson COPYRIGHT © 2007 HARVARD BUSINESS SCHOOL PUBLISHING CORPORATION. ALL RIGHTS RESERVED. It was 9:30 in the evening of what had been a very long Friday when the phone rang in Chip Brownlee’s home study. On the line was Arch Carter, the lead director of Galvatrens, the Houston-based consumer products company that Chip had led as chairman and CEO for the past ten years. “I just got your voice mail,” Arch said. “The parts about a lawsuit and accusations that we manipulated our sales numbers certainly got my attention. What’s going on?” “At this point, I don’t know much,” Chip responded, “but I wanted to give you a heads-up. A former divisional sales manager has filed a lawsuit against the company, charging he was wrongfully terminated because he tried to report an illegal scheme to inflate sales.” Chip had received a copy of the lawsuit that afternoon. As he’d read through the complaint, he’d gotten a whole new perspective on the multiple departures that had rocked Sales dur- ing the past four weeks. The plaintiff was Mike Fields, who had left Galvatrens three weeks earlier. He claimed that he’d come across a plan devised by Greg Wilson, another divisional sales manager. According to Mike, Greg had proposed shipping goods to a few of his bigger customers, billing them, and booking the sales—...
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...experiences William Miller, of a teenage writer played by Patrick Fugit, as he follows an up and coming rock and roll band (Stillwater) in order to write a cover story for Rolling Stone Magazine in the early 1970's. William Miller is a bright-eyed and intelligent young high school student with a passion for both writing and rock music. Confined by an overly concerned and strict mother who has a irrational dislike for rock and roll music, William is desperate to break away and create a life for himself. William is determined it find an outlet and eventually lands a job writing album reviews for a local newspaper. Lester Bangs, an editor of Cream (a low-budget rock and roll magazine) played by Philip Seymour Hoffman, stumbles across William's album reviews and enjoys his work. Lester ends up getting ahold of William and offers him a job reporting on a Black Sabbath Concert. William excitedly accepts the offer, but is unable to gain access to the hugely popular Black Sabbath after the concert. Fortunately for William the members of the opening band, Stillwater, are very willing to be interviewed and provide him with enough material to write a solid report. William's piece on Stillwater catches the eye of an editor at Rolling Stone Magazine, Ben Fong-Torres ( played by Terry Chen ), who was so impressed by the article that he offers William an opportunity of a lifetime; to go on tour with Stillwater and write a 3,000 word cover story on the adventure. Despite his mother's pleas, William...
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... Excello Telecommunications was presented with a dilemma on how the company should report earnings so that they would appear to have met earning estimates for the 2010 financial year. The CFO, Terry Reed, was concerned with how failure to meet earning estimates would affect bonuses, stock options, and the share price of Excello stock. On December 201, 2010, the company sold $1.2 million of equipment to Data Equipment Systems. However, Data Equipment Systems requested that Excello hold on to the product until January 11, 2011, because they do not have the capacity to hold the product until then. This means the $1.2 million sale cannot be recorded until Data Equipment Systems receives the product, which would be in the next financial year. The accounting team came up with three scenarios on how to creatively report this $1.2 million in sales for 2010 financial reports. This paper will examine the legal aspects, the financial standards involved, and ethicality of the Excello Telecommunications case. In this case, legally the company must adhere to many accounting laws and regulations. One of the laws called Sarbanes-Oxley Act of 2002 (SOX) would have a huge impact and influence in this case. SOX was created to restructure and further explain the role of corporate governance in corporate America, strengthen controls over financial reporting, and put more accountability on high ranking executives in the company. Terry Reed wanted to manipulate when this $1.2 million sale...
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...Secondary Sources and Measurement Scale for Healthcare Ratings Edwin Romero Ashford University BUS642: Business Research Dr. David Bouvin September 29, 2014 Abstract As information technology makes it easy for us to do our daily jobs and manage our personal lives, we have put out too much personal information out. In the healthcare field as medical institutions either have both a hard copy and electronic medical record (EMR) of their patients, or just an EMR, which at times give patient data for studies excluding demographic information. That was not the case before July 2003 as medical facilities and providers were using all patient information and giving it to third-party agencies like pharmaceutical companies for profit, but now is unethical and illegal in accordance with the HIPAA Privacy Act. I’ll be presenting to the reder, what types of secondary sources exist, as well as the type of measurement scale will be used in order to prove if healthcare institutions’ ratings are partly based on how well the institutions themselves manage their information systems regulate ethical and legal management and use of patient data. Secondary Sources and Measurement Scale for Healthcare Ratings As Information Technology (IT) is widely used in almost every field, and making everyone’s jobs easier, and helping in maintaining records and history in compact form versus a few decades ago where it was mostly paper tracking and hard copies of documents, it has...
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...A Study on Liquor Mafia in India By Kadapa Naveen Chandra Prakash Roll.no. C0654403 2016W_BUS 1013_2 Date: 27th January 2016 Professor: Terry Peddlesden Executive Summery The study is to find the economic, political and social influence of liquor on society. We would discuss about the consequences of ban on liquor and its effects. What are the regulations made by the government to sell liquor by retailer, how they took advantage of loop holes present in the system. Discussion of ethical dilemma for government about liquor business, their industry and impact on society. To analyze the dilemma faced by organizations, economical situations and their social responsibility. How evil forces exploiting these conditions to benefit them, in which most of them are work for government officials, politicians and retailers. The society had adverse effects from persons addicted to alcohol. Alcohol is held responsible for a clichés of accidents and injuries in India, including road traffic trashes. The deaths caused by alcohol poisoning has been at alarming state. The regulations made by government of India inefficient. Prevention programs and treatment facilities are wholly insufficient to meet India's needs. It can be anticipated that alcohol use and related problems will grow in India in the future. Unless planned policy changes are designed and vigorously implemented these problems are likely to produce an excessive burden on this developing country's resources. Introduction ...
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...huge numbers feel it to be evil as it kills an unborn for no reason. Conversely, others believe that it is a woman’s legal right to choose abortion especially in case of incest, rape, or health issues threatening life of a mother. A couple decades ago, when abortion was illegal, thousands of women died because they did not want to bear an infant and attempted to terminate the child's life by themselves or with an unprofessional approach. After 1973's Supreme Court decision, which allowed women to have the choice to abortion, thousands of women were saved. Abortion can save thousands of lives of women and thus, should remain legal in the United States. Imagine you have a balance beam. On one side you have the physical life of an infant and on the other you have the mental and emotional life of a mother and her unwanted child. Which side can we, as civil humans, claim as more valuable? Up to this current day, abortion has become an exigent issue that faces everyone nationwide. As a moral and ethical issue, abortion is a dilemma for society. Abortion was illegal before the 1973 Supreme Court decision in the trial of Roe v. Wade, but now that abortion is legitimate, women have the freedom and the choice to live their life the way they want to. Albeit, abortion is criticized by religious sects in America and...
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...Cognitive Psychology Definition ZabrynSamar Data 360 September 24, 2012 Terry Hancock Cognitive Psychology Definition What is cognitive psychology? Why is it important? Cognitive psychology is the branch of psychology that studies the mind and how a person perceives things (Willingham, 2007). It also deals with how a person acquires, utilizes, organizes, and retrieves information (Halpern, n.d.) and studies recollection, decision making, problem identification and solving, critical thinking, and logic. It is important as it aids in knowing how a person perceives things and allows one to make changes in one's behavior. It is interesting to know that cognitive psychology was not the first scientific approach to studying the mind, but that is came about in response to defects in other systems (Willingham, 2007). This paper will describe the milestones that were important in the development of cognitive psychology and.. Key Milestones in Cognitive Psychology Cognitive science is the interdisciplinary of embracing philosophy, psychology, linguistics, and artificial intelligence (Thagard, 2012). These are key milestones in the field that would be cognitive science. Its intellectual origins are in the mid 1950's when researchers in several fields began to develop theories of mind based on complex representations and computational procedures (Thagard, 2012). In the beginning, it was the Greek philosophers like Plato who created the foundation of cognitive psychology...
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...Terri Shiavo Case University of Phoenix Legal Case Study: Terri Schiavo Case Terri Schiavo sustained a permanent brain injury on February 25, 1990. She did not have a living will or a durable power of attorney. Her husband, Michael Shiavo, was appointed her legal guardian. Because Ms. Shiavo was unable to swallow, a feeding tube kept her alive and nourished. Later that year, she was determined to be in a persistent vegetative state (PVS). Throughout the early 1990’s, Mr. Shiavo worked hard with his wife’s health care team, providing her with extensive rehabilitation, which included physical, occupational, and speech therapies. Despite this effort, Ms. Shiavo’s condition did not improve. After he accepted his wife’s prognosis, he worked to follow through with what he stated were her beliefs that she would not want to continue to be kept alive through the means of artificial life support. Her parents disagreed with his convictions of what his wife would want, and subsequently the most watched ethical dilemma played out for the world to see. (Perry, Churchill, & Kirshner, 2005). This case has been the focus of medical, legal, theological, ethical, political, and social controversy nationwide. The case alone threatened to undo thirty years of ethical and legal progress enabling individuals to control and limit medical interventions performed on them. (Hook & Mueller, 2005). This paper will discuss the ethical importance of the case and its effect on future practice, the legal...
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...provide cures for many of the diseases and medical problems that plague today’s society for it to be halted. Opponents of this type of research believe it should be stopped because it is unethical to take the life of one human being in order to preserve the life of another. Until the ruling in Roe vs. Wade experiments involving fetal tissue were conducted without any scrutiny from the public sector (Maynard-Moody 13). The first documented procedure involving the transplant of fetal tissue was carried out by Italian researchers in 1928, doctors transplanted the pancreas of a fetus into a diabetes patient, the patient showed no signs of improvement (Maynard-Moody 11). Research involving fetal tissue didn’t become widespread until the 1960’s. In 1957, a non-habit-forming sleeping pill was released in Europe. The pill was widely used in Europe, but not approved in the United States. A few years after the release of the drug there was a sharp rise in the amount of European babies born with phocomelia or “seal limbs” this increase was traced back to the drug (Maynard-Moody 11). Shortly after this medical disaster, the United States government passed legislation that made pharmaceutical companies prove drugs were not harmful to unborn children before they could be prescribed for pregnant women. The need to...
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...Excello Telecommunications: Profit at a Price There are moments in life that can forever define and potentially change not only an individual but an entire corporation as well. With the fiscal year of 2010 coming to a close, Terry Reed the operating CFO of Excello Telecommunications faced such a dilemma. For the first time, Excello was on track to finish out the year below anticipated financial goals, which would resonate throughout the company and its’ stock. This presented Excello with the task of searching for solutions while maintaining ethical and legal choices to the betterment of all parties involved. While searching through problem solving solutions, Reed learned of a pending sale on December 20, 2010 to Data Equipment Suppliers in the amount of $1.2M. The entering of this sale into Excello’s accounting system would cover the companies’ shortfall for the year thereby insuring satisfactory financial performance for 2010. However, the client has requested that due to a lack of storage space for the equipment at the present time, Excello hold the order under January 11, 2011. This information sent Reed to Marty Fuller, the Controller, to seek out the best way to record the sale in 2010 to enhance the years-end reports. While discussing the situation with Fuller, Reed emphasized that the transaction must be recorded in 2010 and that whatever accounting is done be defensible using the Generally Accepted Accounting Principles (GAAP). This is essential in maintaining...
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