Question

Ethical challenges for management accountants include:

a. Whether to accept gifts from suppliers, knowing it is an effort to indirectly influence decisions.
b. Whether to report unfavorable departmental information that may result in unfavorable consequences for a friend.
c. Whether to file a tax return this year.
d. Both A and B are correct.

Answer 1

Both A and B are correct. Ethical challenges for management accountants include accepting gifts from suppliers and reporting unfavorable departmental information that may have unfavorable consequences for a friend.

Step-by-step explanation:

Both A and B are correct. Ethical challenges for management accountants include accepting gifts from suppliers, knowing it is an attempt to indirectly influence decisions, as well as reporting unfavorable departmental information that may have unfavorable consequences for a friend. These situations raise ethical dilemmas for management accountants, as they must navigate between personal relationships and professional responsibilities.