Christian Wolff, an autistic individual, is a Certified Public Accountant (CPA) in the United States of...

 

Transcribed Image Text:

Christian Wolff, an autistic individual, is a Certified Public Accountant (CPA) in the United States of America. He established partnerships in the city of Chicago, Illinois that were comprised of ZZZ Accounting, Paul's Laundromat, Kim's Nails and Great Mandarin in 1991. He is the Managing Partner of those partnerships. ZZZ Accounting has been appointed ever since as the agent to file tax returns for the other three partnerships. Christian Wolff has been cleaning the money of the three partnerships by laundering it through cash transactions with ZZZ Accounting whereby huge amount of money has been paid by the three partnerships to ZZZ Accounting for the tax services provided to them. He has also been making huge amount of charitable cash contributions to Harbor Neuroscience, which is an Autism Research Institute, through the revenue collected by ZZZ Accounting. Required: (a) (b) (c) (d) Identify TWO (2) ethical dilemmas faced by Christian Wolff. [4 marks] Briefly explain THREE (3) principles of code of ethics for professional accountants that have been violated by Christian Wolff. [6 marks] Briefly describe TWO (2) threats that have caused Christian Wolff to be unethical. [4 marks] Suggest TWO (2) possible actions to solve the ethical dilemmas. Christian Wolff, an autistic individual, is a Certified Public Accountant (CPA) in the United States of America. He established partnerships in the city of Chicago, Illinois that were comprised of ZZZ Accounting, Paul's Laundromat, Kim's Nails and Great Mandarin in 1991. He is the Managing Partner of those partnerships. ZZZ Accounting has been appointed ever since as the agent to file tax returns for the other three partnerships. Christian Wolff has been cleaning the money of the three partnerships by laundering it through cash transactions with ZZZ Accounting whereby huge amount of money has been paid by the three partnerships to ZZZ Accounting for the tax services provided to them. He has also been making huge amount of charitable cash contributions to Harbor Neuroscience, which is an Autism Research Institute, through the revenue collected by ZZZ Accounting. Required: (a) (b) (c) (d) Identify TWO (2) ethical dilemmas faced by Christian Wolff. [4 marks] Briefly explain THREE (3) principles of code of ethics for professional accountants that have been violated by Christian Wolff. [6 marks] Briefly describe TWO (2) threats that have caused Christian Wolff to be unethical. [4 marks] Suggest TWO (2) possible actions to solve the ethical dilemmas.

Answer rating: 100% (QA)

Answer a Mediplex Ltd Statement o f Prof it or L oss an d Other Comp rehe nsiv e Inc o me For the yea r ende d M arch 31 2 022 Revenues 8 5 8190 00 00 Cost of sal e s 4 965 000 000 Gross profi t 361 6... View the full answer