Robert Shah, a sales representative for Quality Office Supplies Corporation will receive a substantial bonus if...

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Accounting

Robert Shah, a sales representative for Quality Office SuppliesCorporation will receive a substantial bonus if he meets his annualsales goal. The company’s recognition point for sales is the day ofthe shipment. On December 31^st, Shah realizes he needssales of $2000.00 to reach his sales goal and receive the bonus. Hecall a purchaser for a local insurance company, and asks him to buy$2000.00 worth of paper today. The purchaser says, “but Robert,that’s more than a year’s supply for us.” Shah says, “Buy it today.If you decide it’s too much, you can return however much you wantfor full credit next month”. The purchaser says “okay, ship it.”The paper shipped on December 31^st and was recorded as asale. On January 15^th, the purchaser returns $1750.00worth of paper for a full credit (approved by Shah) against thebill. Should the shipment at December 31^st be recordedas a sale? Discuss the ethics of Shah’s actions.

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ANSWER Ethics is the code of conduct applied in our everyday life So as to thrive each business houses ought to receive moral approaches to direct its business Arrangement of money related reports ought to likewise be moral That is all exchange ought to be recorded effectively and totally with the goal See Answer

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