Commission. A Manager Salim from Roads and Bridges authority demanded a 25% commission/gift as a secret payments for highway work contracts he jssued. Mr. Salim did not show this work plan to any of the other big construction companies who had enough experience to build high quality safe roads and bridges Because he was interested in the secret payment. Mr. Salim made such an offer to Mr. Rashid, a 32 years old civil engineer who was the senior engineer of a new and struggling construction company greatly in need of the work to earn profits. This new company was not getting any work for the last few months and was facing cconomic difficulties Mr. Rashid discussed the offer with his colleagues and staff in the firm, who told him it was his decision to make. Finally, Mr. Rashid agreed to the deal, citing as a main reason for his concem for getting sufficient work to retain his current employees by paying them salaries in time Questions What can be the effect of the deal on the of highway work? If you were in place of Rashid, what you would have done?

FINANCIAL ACCOUNTING
10th Edition
ISBN:9781259964947
Author:Libby
Publisher:Libby
Chapter1: Financial Statements And Business Decisions
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3. Commission. A Manager Salim from Roads and Bridges authority demanded a 25% commission/gift as a secret payments for highway work contracts he jssued. Mr. Salim did not show this work plan to any of the other big construction companies who had enough experience to build high quality safe roads and bridges Because he was interested in the secret payment. Mr. Salim made such an offer to Mr. Rashid, a 32 years old civil engineer who was the senior engineer of a new and struggling construction company greatly in need of the work to earn profits. This new company was not getting any work for the last few months and was facing cconomic difficulties Mr. Rashid discussed the offer with his colleagues and staff in the firm, who told him it was his decision to make. Finally, Mr. Rashid agreed to the deal, citing as a main reason for his concem for getting sufficient work to retain his current employees by paying them salaries in time Questions What can be the effect of the deal on the of highway work? If you were in place of Rashid, what you would have done?
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