ACCT - Principles of Managerial Accounting Essay - 2

ACCT - Principles of Managerial Accounting - Essay congresswomanSome decisions are interpreted to prevent worsening of situations in the short term, but these decisions may wear negative implications in the long run.In the given case, the purchase of CD raw materials should be preserve in the current year expenses since the purchase is already complete on 15th November. Adjusting expenses and posting proceedings as per accounting convenience is a regular practice within organizations. In this case the chief financial officers instruction to post the expenses in the current year even though the material purchased forget be used in the next financial year is justified since the purchase has already taken place in the current year. Hence the decision is morally justified and does not reflect cheating(prenominal) accounting practice.Moral and ethical decisions in such contexts do present challenges to accountants who are well cognizant of the unfair accounting practices. However, t he primary challenge lies in the fact that opposing the CFO or old management decision may have negative implications on accountant job security and drill conditions. Accounting frameworks and standards provide the essential parameters for fair practice. Any decision that goes against these standards or code of ethics for accountants essential be opposed on grounds of possible negative implications in the long run.The job storage allocation process of the company embroils allotting jobs to contractors on the basis of low cost and high quality. The two different categories of contractors concern in this process are the general contractors and the presidency contractors. It has been noticed that the bidding price of the government contractors involve a certain percentage of overhead that is added to the cost of production.The profit percentage is thus specified and this leverages the government contractors position in terms of distinct cost plus profits for jobs allocated. The general contractors thus pass off themselves at a disadvantage since they have to compete