How do generally accepted accounting principles present an ethical issue in financial accounting?
What will be an ideal response?
Because financial accounting provides information to external decision makers, the information must be relevant and reliable. Those individuals who generate the information must do so according to generally accepted accounting principles or the decision makers will misallocate resources. The preparers of information are typically different people than the investors/financial statement users. The preparers of information may have incentives to make the company's performance look better than it really is. Managers may be overly optimistic about company conditions because they are making the decisions and plans. Their bonuses and salaries may also be dependent on the reported net income figures.
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Which of the following is a stage of the Nolan and Gibson growth stage model?
A) Early successes B) Contagion C) Integration D) All of the above
Jason has worked for Allstate Insurance as an IT specialist since graduating from college two years ago. George is an upper level manager who has worked for Allstate for twenty years
Jason and George have been paired so that George can learn more about social networking and text messaging from Jason. Which of the following best describes this program? A) job sharing B) strategic planning C) reverse mentoring D) succession planning