1. ASH ACC 306 W EEK 5 E THICS C ASE 20-5 C HECK THIS A+ TUTORIAL GUIDELINE AT HTTP :// WWW. ASSIGNMENTCLOUD. COM / ACC -306- ASH / ACC -306- WEEK -5- ETHICS - CASE -20-5 F OR MORE CLASSES VISIT HTTP :// WWW. ASSIGNMENTCLOUD. COM E THICS C ASE 20–5 S OFTENING THE BLOW ● LO1 LO2 LO3 L ATE ONE T HURSDAY AFTERNOON, J OY M ARTIN, A VETERAN AUDIT MANAGER WITH A REGIONAL CPA FIRM, WAS REVIEWING DOCUMENTS FOR A LONG - TIME CLIENT OF THE FIRM, AMT T RANSPORT. T HE YEAR - END AUDIT WAS SCHEDULED TO BEGIN M ONDAY. F OR THREE MONTHS, THE ECONOMY HAD BEEN IN A DOWN CYCLE AND THE TRANSPORTATION INDUSTRY WAS PARTICULARLY HARD HIT. A S A RESULT, J OY EXPECTED AMT’ S FINANCIAL RESULTS WOULD NOT BE PLEASANT NEWS TO SHAREHOLDERS. H OWEVER, WHAT J OY SAW IN THE PRELIMINARY STATEMENTS MADE HER SIGH ALOUD. R ESULTS WERE MUCH WORSE THAN SHE FEARED. “L ARRY ( THE COMPANY PRESIDENT ) ALREADY IS IN THE DOGHOUSE WITH SHAREHOLDERS,” J OY THOUGHT TO HERSELF. “W HEN THEY SEE THESE NUMBERS, THEY ’ LL HANG HIM OUT TO DRY.” “I WONDER IF HE ’ S CONSIDERED SOME STRATEGIC ACCOUNTING CHANGES,” SHE THOUGHT, AFTER REFLECTING ON THE SITUATION. “T HE BAD NEWS COULD BE SOFTENED QUITE A BIT BY CHANGING INVENTORY METHODS FROM LIFO TO FIFO OR RECONSIDERING SOME OF THE ESTIMATES USED IN OTHER AREAS.” R EQUIRED : HTTP :// WWW. ASSIGNMENTCLOUD. COM / ACC -306- ASH / ACC -306- WEEK -5- ETHICS - CASE -20-5 HTTP :// WWW. ASSIGNMENTCLOUD. COM