Question

Ethics: You are auditing a manufacturer. They have halfway completed two of their products and have included the two halves as one additional completion in its count of products completed. Would you have a problem with this presentation? Why or why not? write a short response in simple writing style. add in text citation and apa style reference

Answer 1

Yes, I would have a problem with this presentation. Counting two half-finished products as one complete product misrepresents the actual output of the manufacturer. This practice can mislead stakeholders, like investors and customers, about the company's production efficiency and financial health. In accounting and ethics, it is important to present accurate and truthful information to ensure transparency and trustworthiness (IASB, 2021).

**Reference**

International Accounting Standards Board. (2021). *Conceptual Framework for Financial Reporting*. https://www.ifrs.org/projects/work-plan/conceptual-framework/