In accounting, ethics issues can arise in:

Question

Quizplus · Accepted Answer

Both revenue recognition and earnings smoothing can create ethics issues in accounting. Revenue recognition can involve manipulating financial records to recognize revenue too early or delaying revenue recognition to improve certain financial ratios. Earnings smoothing can involve manipulating financial records to even out fluctuations in earnings and make future performance appear consistent. Both practices can be considered unethical if they mislead stakeholders or violate accounting regulations.

In Accounting, Ethics Issues Can Arise In