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You have recently started a new job as an accountant with Grow Fast Limited, and one of your tasks is to prepare, and post the year end accrual journal entries. Your boss has just come to you and said "when you're preparing those journals, just remember the profit impact: our shareholders are expecting the company to meet the profit targets and we have to deliver".
Required:
Question i) Identify two threats identified in APES 110 Code of Ethics for Professional Accountants which are compromising compliance with the fundamental principles in this situation, and explain why they are threats.
Question ii) Identify two fundamental principles listed in APES 110 which are threatened by this situation, and briefly explain why you chose these principles.
Question iii) Outline three alternative courses of action you could take. For each option explain how/if this action would retain your compliance with the Code of Ethics
Financial Statement Analysis and Preparation
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T he focus of the report is to determine the extent to which you are comfortable relying on the financial statements as presented by management .
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