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Scott, MIT Graduate
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Answer the 3 questions follwoing the Management Choice Ethics

Customer Question

Answer the 3 questions follwoing the Management Choice Ethics Case on pg 288. Describe what Sue should do and the decision-making approach that supports such action when responding to question 3. The steps summarized in Figure 5.5 on p. 353 (Ch. 5) may help guide your answer to question 3. Justify your decision based on the impact it would have on the stakeholders involved in the situation using terminology and concepts from Ch. 5.
Post your response in 200 to 300
Submitted: 7 years ago.
Category: Homework
Expert:  Seanna replied 7 years ago.
Hello, and thanks for using Just Answer again. Please copy and paste or post a link to the case study and related questions here. Thanks,

Customer: replied 7 years ago.

Anne Distagne was the CEO of Linkage Construction

Inc., which served as the general contractor for the

construction of the air ducts for large shopping malls

and other buildings. She prided herself on being able

to manage her company effectively and in an orderly

manner. For years there had been a steady 22-25 percent

growth in sales, profits, and earnings per share,

which she wanted to continue because it facilitated

dealing with banks to raise expansion capital.

Unfortunately for Sue Fault, the chief financial officer,

the situation has changed.

"Sue, we've got a problem. You know my policy of

steady growth-well, we've done too well this year.

Our profit is too high: it's up to a 35 percent gain over

last year. What we've got to do is bring it down this

year and save a little for next year. Otherwise, it will

look like we're off our well-managed path. I will look

like I didn't have a handle on our activity. Who

knows, we may attract a takeover artist. Or we may

come up short on profit next year."

"What can we do to get back on track? I've heard we

could declare that some of our construction jobs are not

as far along as we originally thought, so we would only

have to include a lower percentage of expected profits

on each job in our profit this year. Also, let's take the

$124,000 in R&D costs we incurred to fabricate a more

flexible ducting system for jobs A305 and B244 out of the

job costs in inventory and expense them right away."

"Now listen, Sue, don't give me any static about

being a qualified accountant and subject to the rules

of your profession. You are employed by Linkage

Construction and I am your boss, so get on with it. Let

me know what the revised figures are as soon as possible."


1. Who are the stakeholders involved in this decision?

2. What are the ethical issues involved?

3. What should Sue do?


This may b help.....

1. Determine the facts-what, who, where, when, and how.

2. Define the ethical issue(s).

3. Identify major principles, rules, and values.

4. Specify the alternatives.

5. Compare values and alternatives, and see if a clear decision emerges.

6. Assess the consequences.

7. Make your decision.

Customer: replied 7 years ago.
Were you able to get my reply? Sorry I had to restart my computer?
Customer: replied 7 years ago.
Relist: No answer yet.

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