Ethical Case Study: Case Summary: BN works as accountant in Company BC and is offered a job based on his technical skills and experience at Company PE. But BN is dubious of the offer as the performance of the company over the past few years has not improved. Company PE, despite of making increasing profits, has consistently reducing cash flow from the operations. This is due to the loosened credit policies and extended payment periods. To Explain: The perilous impact from the combination of events surmised by BN.

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Chapter 21, Problem 21.7BYP

a)

To determine

Ethical Case Study:

Case Summary:

BN works as accountant in Company BC and is offered a job based on his technical skills and experience at Company PE. But BN is dubious of the offer as the performance of the company over the past few years has not improved. Company PE, despite of making increasing profits, has consistently reducing cash flow from the operations. This is due to the loosened credit policies and extended payment periods.

To Explain: The perilous impact from the combination of events surmised by BN.

b)

To determine

To Identify: The course of action to be taken by BN.

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