Ex 1-2

As in many ethics issues, there is no right answer. Addressing the suppression of the first report could be the key to the questionable professional ethics in hand. Businesses, especially, corporations have to be transparent in relaying its information, if the intention was to cover up the toxic by-products, the corporation would need to consider the lengths of its undisclosed information. It would be deemed as a responsible act if the corporation disclosed the information but enclosed in its Management Report the solutions to the problem.

Although it was not given as to when the second report was commissioned, it would have helped in understanding if the corporation had rectified the toxic wastes. Providing a full disclosure of the corporation’s past to the Collier County representatives would have been nothing but digging old skeletons if the corporations had solved the toxins. However, it the problem had not been rectified, ethics and legality of hiding such information from the County could be detrimental and the corporation could lose business.

Ex 1-10

a. 1. Total Assets increased by $70,0002. No change in Total Liabilities 3. Total Stockholders’ Equity increased by $70,000

b. 1. Total Assets decreased by $40,0002. Total Liabilities decreased by $40,0003. No change in Stockholders’ Equity