Charlie brown controller for the kelly corporation is

Assignment Help Accounting Basics

Reference no: EM13480915

Charlie Brown, controller for the Kelly Corporation, is preparing the company's income statement at year-end. He notes that the company lost a considerable sum on the sale of some equipment it had decided to replace. Since the company has sold equipment routinely in the past, Brown knows the losses cannot be reported as extraordinary. He also does not want to highlight it as a material loss since he feels that will reflect poorly on him and the company. He reasons that if the company had recorded more depreciation during the assets' lives, the losses would not be so great. Since depreciation is included among the company's operating expenses, he wants to report the losses along with the company's expenses , where he hopes it will not be noticed.

What are the ethical issues involved?
What should Brown do?

Reference no: EM13480915

Questions Cloud

Gwen spent 4 days in business meetings and conferences and : in which of the following situations is the individual is an independent contractor rather than an employee? a nurse

What is the npv of the bg project assume the real cost of : thanks to acquisition of a key patent your company now has exclusive production rights for barkelgassers bgs in north

Which terms will make the following statement true when : which terms will make the following statement true? when manufacturing overhead is overapplied the manufacturing

Write down an analysis of the current status of government : write down an analysis of the current status of government

Charlie brown controller for the kelly corporation is : charlie brown controller for the kelly corporation is preparing the companys income statement at year-end. he notes

Distributions from corporations to the shareholders in a : distributions from corporations to the shareholders in a nonliquidating distribution will usually be classified as a

Big steves makers of swizzle sticks is considering the : big steves makers of swizzle sticks is considering the purchase of a new plastic stamping machine. this investment

Prepare a schedule of cost of goods manufactured assume all : the following data from the just completed year are taken from the accounting records of eccles

What is the internal rate of return for the following : what is the internal rate of return for the following project an initial outlay of 11000 resulting in a single cash

User Account

All Pages