Label Each Question:

Question 1

Why is professional judgment important in accounting?

Question 2

At which stage of moral development are most accountants and auditors with respect to their ethical decision-making? What factors are responsible for them being at that stage? How does that relate to their level of moral reasoning?

Question 4

Susie, a newly graduated BBA in accounting, has started job with the state budgeting office. Susie has responsibility over travel expenses expense accounts. The state has a travel policy stating that a state employee may be reimbursed up to $90 per night for a hotel room and up to $40 per day for meals, as long as the employee turns in food receipts. On the first expense account Susie works on the employee has a hotel receipt for $130 a night but no food expenses. Susie

processes the reimbursement for $90. The employee becomes irate as his reading of the travel policy is that he can be reimbursed for $130 a night for hotel and food with a receipt. The employee claims this has never been a problem in the

past and has always been reimbursed $130 a night whether for hotel only or both hotel and food.

Discuss which ethical theories supports Susie AND the employee's take on the travel policy.