Reference no: EM132624746

Biz-solution Ltd, a developer and distributor of business applications software, has been in business for five years. The company's main products include software programs used for sales management and customer invoicing, sales have increased steadily to the current level of $15 million per year, and the company has 250 employees.

carmel Benjamin joined Biz-solutions approximately one year ago as accounting manager. Her duties include supervision of the company's sales have ceased to rise and have actually declined in the two most recent month. This unexpected downturn has resulted in cash shortages. Compounding these problems, Biz-solution has had to postpone the introduction of the new product line because one of its supplies, Print Design Ltd has not yet deliver the instruction manual for the new product.

Biz-solution contracts most of its printing requirement to Print Design Ltd, a small company owned by Rob Mchugh. Mchugh has dedicated a major portion of his printing capacity to Biz-solution requirement, because its contracts represent approximately 50 percent of print design's business. Carmel Benjamin has known Mchugh for many years and it was Mchugh who first told Carmel that Biz-solution needed a new accounting manager.

while preparing the company's most recent financial statement, Benjamin became concerned about its ability to maintain timely payments to its suppliers. She estimated that payment to all suppliers, which were usually made within 30 days, were now exceeding 75 days. Benjamin is particularly concerned about payment to print design. She knows that Biz-solution has recent placed a large order with print design for printing a new product instruction manual, and that print design will soon be placing an order with each suppliers for the special paper needed for this new job. Benjamin is considering telling Mchugh about the cash problems of Biz-solution, although she is aware that a delay in the printing of the documentation would jeopardise the company's new product.

Required

Question 1: Describe Carmel Benjamin's ethical responsibilities in this situation.

Question 2: Independent of your answer to requirement 1, assume that Carmel Benjamin learns that Rob Mchugh of print design has decided to postpone the order of the special paper for the Biz-solution printing job, Benjamin believes that Mchugh must have heard rumors about the company's financial problem from some other source, because she has not talk to Mchugh. should Carmel Benjamin tell Biz-solution managers that Mchugh has postponed the special paper order? explain your answer.

Question 3: Independent of your answer to the first two requirement,assume that Rob Mchugh has decided to postponed the special paper order because he has learned of the financial problem of Biz-solution from a source other than Benjamin. In addition, Benjamin is concerned that when Bradbury find out Mchugh has postponed the order he may suspect that she told Mchugh about the financial problem of Biz-solution. Describe the steps that Carmel Benjamin should take to resolve this situation.