A fertilizer manufacturing company wants to relocate to Yellowstone County. A report from a fired researcher at the company indicates the company’s product is releasing toxic by-products. The company suppressed that report. A later report commissioned by the company shows there is no problem with the fertilizer.
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A fertilizer manufacturing company wants to relocate to Yellowstone County. A report from a fired researcher at the company indicates the company’s product is releasing toxic by-products. The company suppressed that report. A later report commissioned by the company shows there is no problem with the fertilizer.
Should the company’s chief executive officer reveal the content of the unfavorable report in discussions with Yellowstone County representatives? Discuss.
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- A manure industrial company wants to move to England County. A 20-year-old report from a sacked researcher at the company says the company’s product is discharging toxic by-products. The company has blocked that report. A second report commissioned by the company shows there is no problem with the manure. Should the company’s chief executive officer reveal the context of the adverse report in discussions with England County representatives? Discuss.The Stone River Textile Mill was inspected by OSHA and found to be in violation of a number of safety regulations. The OSHA inspectors ordered the mill to alter some existing machinery to make it safer (e.g., add some safety guards); purchase some new machinery to replace older, dangerous machinery; and relocate some machinery to make safer passages and unobstructed entrances and exits. OSHA gave the mill only 35 weeks to make the changes; if the changes were not made by then, the mill would be fined $300,000. The mill determined the activities that would have to be completed and then estimated the indicated activity times, as shown in the table below. Activity Description Immediate Predecessor(s) Time Estimates (Weeks) Optimistic Most Likely Pessimistic a m b A Order new machinery --- 1 2 3 B Plan new physical plant --- 2 5 8 C Determine safety changes in existing machinery --- 1 3 5 D Receive equipment A 4 10 25 E Hire new employees A 3 7 12 F Make plant…What caused Union Carbides deadly gas leak in Bhopal, India, which killed 3,000 and injured 42,000? A. a combination of low staff levels, corruption, pay-oils to employees to keep quiet, and the manager going on vacation the day before the leak B. diversion of funds and resources to a Northern India project that also took staff from the Bhopal plant, plus many safety issues, including fines imposed on community members who camped too close to the plant C. employees deciding to have lunch before dealing with the pressure buildup inside the tank and bribes paid to the government employees who inspected the plant D. a combination of low staff levels, numerous safety issues, and a Lack of Immediate employee attention to the problem as pressure built up inside the tank
- The Environmental Protection Agency (EPA) is in the process of investigating a possible water contamination issue at the manufacturing facility of Northwest Forest Products. The EPA has not yet proposed a penalty assessment. Management feels an assessment is reasonably possible, and if an assessment is made, an unfavorable settlement is estimated between $20 and $30 million. How should Northwest Forest Products report this situation in its current financial statements?There is a high chance that our audit work will be disturbed by protesters who will at any moment occupy the two MapleX’s farms located on the lands claimed by the Métis indigenous peoples of Canada. Due to serious safety concerns associated with the protesters, I don’t want anyone from our firm going to these two farms. This means that we will not be able to physically inspect and count of the maple trees at the two occupied farms. In addition, I have a feeling that the AFDA set by the bookkeeper could be materially misstated and therefore the A/R balance presented on MapleX’s financial statements would be incorrect. In a separate memo, please discuss and explain, how each of these two situations (on its own separately), would impact the type of audit report and the opinion that our firm would issue. Also, please explain what specific changes I would need to make to the auditor’s report and show an example of how the wording in the report would be changed for each situation. Remember,…In a recent year, an oil refinery in Texas City, Texas, on the Houston Ship Channel exploded. The explosion killed 14 people and sent a plume of smoke hundreds of feet into the air. The blast started as a fire in the section of the plant that increased the octane of gasoline that was produced at the refinery. The Houston Ship Channel is the main waterway that allows commerce to flow from the Gulf of Mexico into Houston. The Texas Commission on Environmental Quality express concern about the release of nitrogen oxides, benzene, and other known carcinogens as a result of blast. Neighbors of the plant complained that the plant had been emitting carcinogens for years and that the regulators had ignored their complaints about emissions and unsafe working conditions. Instructions Answer the following Questions Outline the costs that the company now faces as a result of the accident. How could the company have reduced the cost associated with the accident?
- Which of the following MOST likely indicates a clear violation of an NFPO’s code of conduct? John Adams, a volunteer for the local pet shelter, also owns a pet store and has offered a discount on pet food to the local shelter. Cecilia Lam used inappropriate language on her Facebook page when referring to the NFPO for which she worked. Mark Adams, an employee for a legal society, used the organization’s computer to research a new job. Hanpreet Kaur, the accountant for a sports rehabilitation society, offered the society’s services to his sister free of charge without her needing to qualify.Due to the coronavirus pandemic, ShakeHands Company announced a decision to close a factory located in Sampaloc and terminate all 200 employees as a result of the decline in product demand due to the lockdown. The entity shall pay P40,000 per employee upon termination. However, to ensure that the windup of the factory occurs smoothly and all remaining customer orders are completed, the entity needs to retain at least 20% of employees until closure of the factory in six months. As a result, the entity announced that employees who agree to stay until the closing of the factory shall receive P75,000 payment at the end of the six months in addition to receiving their current wage through the period of closure on top of the P40,000. Based on this offer, the entity expected to retain 50 employees until the factory is closed. Compute the amount attributable to termination benefit. Compute the amount attributable to short-term benefit.Coyle Pharmaceuticals produces two chemicals (Chem AB, and Chem XY) used in the production of two of its most wide-selling anti-cancer drugs. Coyle Pharmaceuticals has recently received significant criticism from environmental groups, local residents, and the federal government concerning its environmental performance. The CEO of the company wants to know which product is the main source of the environmental problems. The Management Accountant has assembled the following data to help answer this question: Chem AB Chem XY Pounds of fertilizer produced 6,000,000 5,000,000 Pounds of scrap recycled 80,000 20,000 Packaging materials (kilograms) 2,400,000 1,200,000 Energy usage (kilowatt hours) 800,000 400,000 Engineering hours (process design) 18,000 12,000 Pollution control (machine hours) 300,000 75,000 Pounds of solid residues treated 90,000 30,000 Inspection hours (environmental) 30,000 15,000 Cleanup…
- The Environmental Protection Agency (EPA) would like to adopt some new rules regarding environmental impact statements, but it is afraid that if too many people know about them ahead of time, the adverse publicity will force the agency to amend them. To avoid any public comment, the agency seeks to adopt the rules without publishing them. Which of the following statements is true regarding the agency's actions? a. The agency is seeking to adopt the rules by a procedure that violates the rulemaking procedures set forth in the APA. b. The agency has a right to act in this way and a duty to be efficient with taxpayer money. c. The rules in this instance are procedural in nature and therefore are not required to be published. d. The agency has no rulemaking authority, because only Congress can make legislative rules.(Ethics)Rob Rote, the president and CEO of RRR Waste Management, was recently hospitalized, suffering from exhaustion and a heart ailment. Immediately prior to his hospitalization, RRR had experienced a sharp decline in its stock price, and trading activity became almost nonexistent. The primary reason for this was concern expressed in the media over a new untested waste management system implemented by the company. Mr. Rote had been unwilling to submit the procedure to testing before implementation, but he reluctantly agreed to limited tests after the system was operational. No problems have been identified by the tests to date.The other members of management called a meeting to determine what they should do. Randy Smith, the marketing manager, suggested that the company purchase a large number of shares of treasury stock. In that way, investors might notice that activity had picked up, and might decide to buy some more shares. This plan would use up most of the company's available…An employee at an electrical engineering firm was unhappy about being overlooked for a promotion opportunity and decided to resign. He started working at a competing firm in the same city. The former firm soon realized that their innovative designs in engineering solutions were being made available at the new firm where the employee was now working. After a thorough investigation, it was found that the disgruntled employee’s account and password (and therefore his access to confidential designs) were still active. The investigation indicated that the employee had regularly accessed his account and reviewed the confidential designs. REQUIRED Identify and explain the type of fraud that has taken place. What must have motivated the employee to commit the fraud? Explain your answer. List two contributing factors to the type of fraud that had taken place.
