Managerial Accounting: "Chapter 1, Section 4: Ethical Issues Facing the Accounting Industry"

Mark Twain told us that there are three types of lies: "lies, damned lies and statistics". Management accountants produce many statistics! How expenses are allocated and how revenue is accounted for is far from set in stone. For example, the owner of a restaurant and bar could choose to take his salary as a dividend and thereby pump up profitability, perhaps to impress or mislead a potential buyer! As a management accountant you need to be aware of ethical issues and studiously avoid practices that mislead and misdirect those who will use your information.