Ethics and professional conduct in business Mitchell Co. is experiencing a decrease in sales and operating income for the fiscal year ending December 31, 20Y1. Gene Lumpkin, controller of M
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Get it written →Case 6-3. Ethics and professional conduct in business
Mitchell Co. is experiencing a decrease in sales and operating income for the fiscal year ending December 31, 20Y1. Gene Lumpkin, controller of Mitchell Co., has suggested that all orders received before the end of the fiscal year be shipped by midnight, December 31, 20Y1, even if the shipping department must work overtime. Since Mitchell Co. ships all merchandise FOB shipping point, it would record all such shipments as sales for the year ending December 31, 20Y1, thereby offsetting some of the decreases in sales and operating income.
Discuss whether Gene Lumpkin is behaving in a professional manner.
Read Case 6-3. Is Gene Lumpkin behaving in a professional and ethical manner? Give reasons for your answer.
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