M2.4 Week1 dissc

R.M. Lilly Security, Inc. offers security services to professional athletes and entertainers.  Each type of service offered is considered to be a separate department.  Anita Lilly, the vice president of operations and daughter of the owner, is compensated partially on the basis of departmental performance.  Performance is measured by whether the departments are able to operate within their respective budgets.  She often revises operations in order to allow the departments to stay within budget.  Says Anita, "I will not go over budget even if it means slightly compromising the level and quality of service we provide.  These are minor compromises that don't significantly affect the safety of my clients, at least not in the short term." What is R.M. Lilly Securities, Inc.'s ethical responsibility in offering professional security services?

R.M. Lilly Security, Inc. offers security services to professional athletes and entertainers.  Each type of service offered is considered to be a separate department.  Anita Lilly, the vice president of operations and daughter of the owner, is compensated partially on the basis of departmental performance.  Performance is measured by whether the departments are able to operate within their respective budgets.  She often revises operations in order to allow the departments to stay within budget.  Says Anita, "I will not go over budget even if it means slightly compromising the level and quality of service we provide.  These are minor compromises that don't significantly affect the safety of my clients, at least not in the short term." Write a summary explaining the following: 1. Is there an ethical concern in this case?  If so, explain the concern. 2. What parties are affected by these "minor compromises"? 3. Can Anita Lilly take action to eliminate any ethical concerns?  Explain. 4.…

R.M. Lilly Security, Inc. offers security services to professional athletes and entertainers.  Each type of service offered is considered to be a separate department.  Anita Lilly, the vice president of operations and daughter of the owner, is compensated partially on the basis of departmental performance.  Performance is measured by whether the departments are able to operate within their respective budgets.  She often revises operations in order to allow the departments to stay within budget.  Says Anita, "I will not go over budget even if it means slightly compromising the level and quality of service we provide.  These are minor compromises that don't significantly affect the safety of my clients, at least not in the short term." Answer the following: 1. Is there an ethical concern in this case?  If so, explain the concern. 2. What parties are affected by these "minor compromises"? 3. Can Anita Lilly take action to eliminate any ethical concerns?  Explain. 4. What is R.M. Lilly…

Your department head wants you to perform a cost analysis and provide data to the CFO next week. The budget information below comes directly from your accounting department and the figures are correct, however you know that your CFO's time is important and she often asks for ratios that are not calculated by your accounting department. Your department head has challenged you to present common ratios as he wants to mentor you for a potential assistant director position. Your figures need to be specific and accurate. Since you do not know "exactly" which figures to present, you decided to cover the Eight Basic Ratios Used in Health Care. This way, you can answer any question intelligently. Use the data listed below to calculate (show your work) each of the Eight Basic Ratios Used in Health Care.  Explain for each ratio what your answer means to the company. (You should have 8 explanations.) Current Assets = $18,000,542.00 Current Liabilities = $12,240,543.00 Cash & Cash…

Peter Pan is a young accountant who came from a poor family. He was recently hired by a big company called PetraPak. When it was time to audit the accounting books of the company, Peter was instructed by his boss to manipulate the numbers in order to reduce the taxes expense the company will have to pay the Bureau of Internal Revenue. The company official said that if he would not heed the command, he would be terminated. The employment condition that time was really tight and the chance of finding another job is very minimal. Question: If you were Peter Pan, will you obey your boss? Why? Or why not?

Mel Snow is the manager of a firm, Taxation Matters, which specialises in the preparation of income tax returns. The firm offers two basic products: the preparation of income tax returns for wage and salary earners and the preparation of income tax returns for small businesses. Any clients requiring more complex services are referred to Mel's brother Roger, who is a partner in a large firm of chartered accountants. The processing of wage and salary tax returns is quite straightforward, and the firm uses a software package to process data and print the return. A software package is also used to prepare returns for small businesses, although more information is required, particularly about business expenses. Mel has only recently joined Taxation Matters and he is concerned about the firm's pricing policy, which sets a flat fee of $60 per return for wage and salary clients and $300 for small businesses. He decides to use activity-based costing to estimate the costs of providing each of…

Mel Snow is the manager of a firm, Taxation Matters, which specialises in the preparation of income tax returns. The firm offers two basic products: the preparation of income tax returns for wage and salary earners, and the preparation of income tax returns for small businesses. Any clients requiring more complex services are referred to Snow’s brother Roger, who is a partner in a large firm of chartered accountants. The processing of wage and salary tax returns is quite straightforward, and the firm uses a software package to process data and print the return. A software package is also used to prepare returns for small businesses, although more information is required, particularly about business expenses. Snow has only recently joined Taxation Matters and he is concerned about the firm’s pricing policy, which sets flat fees of $60 per return for wage and salary clients and $300 for small businesses. He decides to use activity-based costing to estimate the costs of providing each of…

Mel Snow is the manager of a firm, Taxation Matters, which specialises in the preparation of income tax returns. The firm offers two basic products: the preparation of income tax returns for wage and salary earners, and the preparation of income tax returns for small businesses. Any clients requiring more complex services are referred to Snow's brother Roger, who is a partner in a large firm of chartered accountants. The processing of wage and salary tax returns is quite straightforward, and the firm uses a software package to process data and print the return. A software package is also used to prepare returns for small businesses, although more information is required, particularly about business expenses. Snow has only recently joined Taxation Matters and he is concerned about the firm's pricing policy, which sets flat fees of $60 per return for wage and salary clients and $300 for small businesses. He decides to use activity-based costing to estimate the costs of providing each of…

Mel Snow is the manager of a firm, Taxation Matters, which specialises in the preparation of incometax returns. The firm offers two basic products: the preparation of income tax returns for wage andsalary earners, and the preparation of income tax returns for small businesses. Any clients requiringmore complex services are referred to Snow’s brother Roger, who is a partner in a large firm ofchartered accountants.The processing of wage and salary tax returns is quite straightforward, and the firm uses a softwarepackage to process data and print the return. A software package is also used to prepare returns forsmall businesses, although more information is required, particularly about business expenses.Snow has only recently joined Taxation Matters and he is concerned about the firm’s pricing policy,which sets flat fees of $60 per return for wage and salary clients and $300 for small businesses. Hedecides to use activity-based costing to estimate the costs of providing each of these…

Mel Snow is the manager of a firm, Taxation Matters, which specialises in the preparation of incometax returns. The firm offers two basic products: the preparation of income tax returns for wage andsalary earners, and the preparation of income tax returns for small businesses. Any clients requiringmore complex services are referred to Snow’s brother Roger, who is a partner in a large firm ofchartered accountants.The processing of wage and salary tax returns is quite straightforward, and the firm uses a softwarepackage to process data and print the return. A software package is also used to prepare returns forsmall businesses, although more information is required, particularly about business expenses.Snow has only recently joined Taxation Matters and he is concerned about the firm’s pricing policy,which sets flat fees of $60 per return for wage and salary clients and $300 for small businesses. Hedecides to use activity-based costing to estimate the costs of providing each of these…

The CEO of the Baker Inc, wants to implement a new accounting system, to improve work flow through the company’s sales, cash receipts, accounts payable, and cash disbursement procedures. The CEO is, however, concerned about the potential disruption that the implementation will have on operations. In an announcement letter to Baker’s employees, the CEO stated that: “I have contracted Flybynight Consulting Group to do the needs analysis, system selection, and design work. The programming and implementation will be performed in-house using existing IT department staff. The development process will be unobtrusive to user departments because Flybynight knows what needs to be done. They will work independently, in the background, and will not disrupt departmental and internal audit work flow with time consuming interviews, surveys, and questionnaires. This promises to be an efficient process that will produce a system that will be appreciated by all users.” Required: Draft a memo from George…

Mel Snow is the manager of a firm, Taxation Matters, which specialises in the preparationof income tax returns. The firm offers two basic products: the preparation of income tax returnsfor wage and salary earners, and the preparation of income tax returns for small businesses.Any clients requiring more complex services are referred to Snow’s brother Roger, who is apartner in a large firm of chartered accountants.The processing of wage and salary tax returns is quite straightforward, and the firm uses asoftware package to process data and print the return. A software package is also used toprepare returns for small businesses, although more information is required, particularly aboutbusiness expenses.Snow has only recently joined Taxation Matters and he is concerned about the firm’s pricingpolicy, which sets flat fees of $60 per return for wage and salary clients and $300 for smallbusinesses. He decides to use activity-based costing to estimate the costs of providing each ofthese…

Erica works in the accounting department at Spartans Inc. creating budgets. Based on her forecasts, she believes earnings will fall short of analysts' projections. She tells her aunt to sell stock in the company before the earnings release date. Which, if any, ethical standards did Erica violate? O Integrity - failure to abstain from activities that might discredit the profession. O Integrity - failure to mitigate conflicts of interest. O Confidentiality - failure to refrain from using information for an unethical advantage. O Competence - failure to provide information that is accurate, clear, and concise. O Credibility - failure to provide all relevant information that could influence a decision. Confidentiality - disclosure of confidential information without authorization or legal requirement.

The Westfield branch of Security Home Bank submitted the following cost data for last year: Teller wages Assistant branch manager salary Branch manager salary Total Virtually all other costs of the branch-rent, depreciation, utilities, and so on-are organization-sustaining costs that cannot be meaningfully assigned to individual customer transactions such as depositing checks. In addition to the cost data above, the employees of the Westfield branch were interviewed concerning how their time was distributed last year across the activities included in the activity-based costing study. The results of those interviews appear below: Teller wages Assistant branch manager salary Branch manager salary $ 144,000 74,000 90,000 $ 308,000 Activity Opening accounts Processing deposits and withdrawals Processing other customer transactions Distribution of Resource Consumption Across Activities Processing Deposits and Withdrawals 75% 15% 0% Opening Accounts 4% 15% 4% Activity Cost Pool Opening…

Since employees do not pay for their food directly, what will Jennifer likely use as the “revenue” portion of her budget? How do you think this number should be determined? In addition to her know-how as a food service director, what skills will Jennifer likely need as she interacts with the executives at Techmar who must approve her operating budget?

Mel Snow is the manager of a firm, Taxation Matters, which specialises in the preparation of income tax returns. The firm offers two basic products: the preparation of income tax returns for wage and salary earners, and the preparation of income tax returns for small businesses. Any clients requiringmore complex services are referred to Snow's brother Roger, who is a partner in a large firm ofchartered accountants. The processing of wage and salary tax returns is quite straightforward, and the firm uses a software package to process data and print the return. A software package is also used to prepare returns for small businesses, although more information is required, particularly about business expenses. Snow has only recently joined Taxation Matters and he is concerned about the firm's pricing policy,which sets flat fees of $60 per return for wage and salary clients and $300 for small businesses. He decides to use activity-based costing to estimate the costs of providing each of…

Suppose that a company called Futuristics, Inc hires you to work in Supply Cha Management. Your new manager sets up a meeting to discuss the Surfers, Inc. account. The meeting opens with the manager stating, "I just reviewed the financial report on Surfers, Inc. It really doesn't cost much to serve them, does i Which of the following would be an appropriate response to the manager's statement? Traditional accounting methods are perfect to help us make decisions about serving the Surfers, Inc. account Activity-based costing would be better to report the Surfers, Inc. results to the financial community Traditional cost accounting gives us a good measure for comparing by customer Activity-based costing could better show us how much it really costs to serve Surfers, Inc. Activity-based costing takes depreciation into account to enable us to know when to replace machinery