Which of the following statements is true regarding ethical issues accompanying budgeting?
a) Easy target incentives are eliminated through budgeting.
b) The conflicts of biased budgeting can be avoided in a decentralized firm.
c) Conflicts of interest do not arise when employees are asked for input to help establish a budget.
d) If budget targets are difficult to meet, employees could turn to fraudulent financial reporting.
Ethical Issues faces by the accountant are the conflict of interest, fraudulent financial reporting, misappropriation of assets and the disclosure violations and manipulation of financial statement.
Answer and Explanation:
The following is the statement true regarding the ethical issues regarding the accompanying budgeting
a) Easy target incentives are eliminated...
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from Business 106: Human Resource ManagementChapter 1 / Lesson 10