Textbook publishers provide a copy of a particular book to each professor who is making a decision about adopting a book for the class. These books may be solicited by the professor or may be unsolicited. Some of the books are stamped “For Faculty Use Only.” “Used book” companies send out reps who are reimbursed for their travel expenses and are paid a commission to buy these books from the professors at a low price. A lot of these books are purchased at the end of spring, held as inventory over the summer, and sold to university bookstores before the beginning of fall classes. The bookstores sell them to students or return them. Depending on the condition of the book, it is sold to students as either “new” or “used.”

Required
From financial reporting and ethical perspectives, discuss the issues raised by the above situation.