5. In June 2021, the demand for COVID testing increased exponentially due to a pick in...

 

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5. In June 2021, the demand for COVID testing increased exponentially due to a pick in the third wave of the Corona virus disease. The government has put out an offer to subsidy testing at private clinics and hospitals to make access to testing more accessible and to lessen the burden on state resources. The subsidy will only be provided to certain medical practices. Fortunately, the chair of the board, who is also the CEO and a CA(NAM) at a local private medical practice is good friends with the government official who is overseeing the process of allocating the subsidies. The subsidy would substantially decrease the cost of sales for the test kits. Since the bonuses this year are driven primarily by profit after tax all of management has signed off on taking the government official on trip. The company thus paid for the government official and his children to go and attend the Kanye West concert in America, all expenses paid. a. In term of the CPC please identify (10) i. Ethical issues you identified in the information above ii. For all ethical issues identified 1. State the principles that apply 2. Explain why they apply 3. Identify the threats that are applicable 4. Identify some safeguards b. Identify and explain any other ethical concerns in terms of any other codes and legislations. (5) 5. In June 2021, the demand for COVID testing increased exponentially due to a pick in the third wave of the Corona virus disease. The government has put out an offer to subsidy testing at private clinics and hospitals to make access to testing more accessible and to lessen the burden on state resources. The subsidy will only be provided to certain medical practices. Fortunately, the chair of the board, who is also the CEO and a CA(NAM) at a local private medical practice is good friends with the government official who is overseeing the process of allocating the subsidies. The subsidy would substantially decrease the cost of sales for the test kits. Since the bonuses this year are driven primarily by profit after tax all of management has signed off on taking the government official on trip. The company thus paid for the government official and his children to go and attend the Kanye West concert in America, all expenses paid. a. In term of the CPC please identify (10) i. Ethical issues you identified in the information above ii. For all ethical issues identified 1. State the principles that apply 2. Explain why they apply 3. Identify the threats that are applicable 4. Identify some safeguards b. Identify and explain any other ethical concerns in terms of any other codes and legislations. (5)

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Question Ans a i The government official in charge of the grant allocation process undoubtedly likes his friend to take government subsidies to test t... View the full answer