How does program omits the effect of income taxes

Reference no: EM131854850

Question: A company in California sells a computer program to auto dealers showing that car buyers should finance their purchase rather than paying cash. The program omits the effect of income taxes and misstates the interest earned on savings over the load period. The finance option always provides a net benefit for the cash option. Company employees agree that the program does mislead buyers, but say the company will "provide what (car dealers) want as long as it is not against the law." Is this practice ethical? Is this practice socially responsible?

Reference no: EM131854850

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