Diane is a CFO at We Do What We Want, Inc. She was just instructed by her boss, the CEO, to accelerate the recording of revenue into an earlier year to meet financial analysts' earnings projections. In order to meet the ethical standards of the accounting profession, Diane must be certain that she:

Question

Quizplus · Accepted Answer

As a CFO, Diane has a responsibility to maintain the ethical standards of the accounting profession. However, simply blowing the whistle or reporting to the SEC may not be the best approach to address the situation. Instead, Diane should work through the chain of command within the company to address the issue and avoid subordinating her judgment. This will provide an opportunity for the CEO to reconsider the decision and prevent any financial wrongdoing. Additionally, if working through the chain of command does not resolve the issue, then Diane can report the matter to the external auditors or the SEC.

Diane Is a CFO at We Do What We Want