Although budgeting may appear to be a straightforward set of calculations, there are still many areas in the budgetary process where unethical practices may occur. By misusing tools or calculations, a deceitful picture of an organization’s financial reality can be painted, misleading investors, employees, or stockholders.
For this Application, you will first need to review the case study, “Conflict Between Doing Well and Doing Good?” found in this week’s Resources.
Formulate a brief response for each of the seven questions listed at the end of the case study.
In addition, comment on some potential consequences of unethical behaviour in budgeting. Find examples in the news to demonstrate the consequences.
Kwok, J. S., & Rabe, E. C. (2010). Conflict between doing well and doing good? Capital budgeting case study—Coors. Journal of Business Case Studies, 6(6), 123–130.
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