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ACC 205 week 1 DQ 1

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From Chapter 1, Ethical Issue 1-1, page 59. Complete all parts of the case and respond to at least two of your classmates’ postings.
What is the fundamental ethical issue in this situation?
I can picture Wai Lee telling and asking (his) people about these two transactions and
sounding non-chalant about them. The one fundamental ethical issue behind this
scenario is falsifying the paperwork and making them look like something they really are
not to a bank. The bank then lends them money and sure enough, another company
ends up right where some other companies in our nation have landed--in trouble with
finances as their CEO's get escorted off to jail. (Mr.) Lee saying he will "temporarily
transfer some land" concerns me. My question back to him. "And how do you intend to
get that land back in your name as personal property?" He is also forcing Brent into a
situation that challenges his loyalty to the the company and (Mr.) Lee against ethical
and professional conduct.
How do the two suggestions of the company owner differ?
I cannot say that there is much of a difference, however, there is one significant one that
can make and/or break the company. According to Horngren, Harrison, and Oliver, (Mr.)
Lee's land is considered Capital and an owner can contribute cash or other net assets
to the business and receive capital (2008, p. 12). The other request of "shaving $500,00
off expenses" is not quite legal and is false and deceiving information.
Judy Barnes
Reference:
Horngren, C.T., Harrison, Jr., W.T., & Oliver, M.S. (2008). Accounting. New Jersey:
Pearson Education, Inc.

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From Chapter 1, Ethical Issue 1-1, page 59.? Complete all parts of the case and respond to at least two of your classmates' postings.? What is the fundamental ethical issue in this situation? I can picture Wai Lee telling and asking (his) people?about these two transactions and sounding?non-chalant ...
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