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CIMA Strategic P3 Question # 90 Topic 10 Discussion

P3 Exam Topic 10 Question 90 Discussion:
Question #: 90
Topic #: 10

P Ltd manufactures and sells electrical goods through retail outlets.

N is P Ltd's Sales Director. He has been recently promoted from a senior sales position with P Ltd. He has been forced to spend the first six months as Sales Director on dealing with an administrative mess left behind by the previous sales director.

You are a Senior Management Accountant at P Ltd. You have worked with N for many years.

N has worked hard and has made many changes that have brought significant benefit to the business.

N has asked you to postpone the recording of some purchase invoices so that he will meet his quarterly targets on profit margin.

What should you do?


A.

Collect all the facts, distance yourself from the situation but say nothing.


B.

Write up the facts of the issue and put it on your files.


C.

Document the situation and present the facts to your manager.


D.

Do nothing, no rules have been broken, tell N that you cannot do as he asks and that he needs to abide by the professional codes.


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