+1-415-670-9189
info@expertsmind.com
What are the ethical issues involved
Course:- Financial Management
Reference No.:- EM13976321




Assignment Help
Expertsmind Rated 4.9 / 5 based on 47215 reviews.
Review Site
Assignment Help >> Financial Management

Midwest health club (MHC) offers 1-year memberships. Membership fees are due in full at the beginning of the individual membership period. As an incentive to new customers, MHC advertidsed taht any customers not satisfied for any reason could receive a refund of the remaining portion of unused membership fees. As a result of this policy, Richard Nies, corporate controller, recognize revenue ratably over the life of the membership. MHC is in the process of preparing its year-end financial statements. Rachel Avery, MHC's treasurer, is concerned about the company's lackluster performance this year. She reviews the financial statements Nies prepared and tells Nies to recognize membership revenue when the fees are received. a. What are the ethical issues involved? b. What should Nies do?




Put your comment
 
Minimize


Ask Question & Get Answers from Experts
Browse some more (Financial Management) Materials
You work for a pharmaceutical company that has developed a new drug. the patent of the drug will last 17 years. You expect that the drugs profits will $5 million dollars in it
A call option on an S&P 500 futures contract has an exercise price of 1490; the call premium is currently $6.50. On the same date, a put option on the S&P 500 futures contract
Consider the following information: Rate of Return If State Occurs State of Probability of Economy State of Economy Stock A Stock B Stock C Boom .64 .11 .20 .38 Bust .36 .18 .
Consider a situation where you are negotiating with Wal-Mart for your family farm’s milk. Confronted with various hardball price challenges, what type of negotiation situation
Genetic Insights Co. purchases an asset for $10,830. This asset qualifies as a seven-year recovery asset under MACRS. The seven-year fixed depreciation percentages for years 1
When performing a proper analysis of mutually exclusive alternatives, the best alternative must yield the largest rate of return. For compounding more often than once per year
Organic Produce Corporation has 8.8 million shares of common stock outstanding, 630,000 shares of 7.3 percent preferred stock outstanding, and 188,000 of 8.5 percent semiannua
Consider the following data: fixed costs = $10 million, variable cost per unit = $400, and revenue per unit = $1,200. For this organization, which of the following statements