Ethical Issue in Job Costing

Ethical Issues in Job Costing

Koutodjo Ayivi, Brad Congdon,

Samuel Croom, Tracy Smith & Kristen Tucker

Liberty University

Dr. Aleecia Hibbets

October 5, 2013

Authors’ note

This faith integration in job costing paper is a joint contribution of the above students, and it is presented as a requirement for Accounting 521 for professor Aleecia Hibbets, instructor at Liberty University located at 1971 University Boulevard Lynchburg VA. This discussion reflects ethical issues in job costing and illustrates how business people could integrate scriptures in their daily job for better results

To my fellow Christians, I suggest “The Book of the Law shall not depart from your mouth, but you shall meditate in it day and night, that you may observe to do according to all that is written in it. For then you will make your way prosperous, and then you will have good success” (Joshua 1:8, King James Version).

Abstract

“For where two or three are gathered together in my name, there am I in the midst of them” (Matthew 18:20 KJV). As long as we are in our imperfect flesh people we will never be perfect, which predestines us to make harmful decisions. These wrongful decisions cannot only affect you but the people around you as well. In the accounting world, harmful decisions are known as ethical issues, which are derived from a person’s morals and beliefs. Therefore, there will always be an ethical issue within the workplace. This discussion will focus on job costing in addition to the following subtopics that will afford us the opportunity to see what motives lead to the aforementioned ethical issues. There are multiple stages of production in which fraudulent activity could occur. In particular, this discussion will focus on misstating stage of completion, charging costs to the wrong job, misrepresenting the cost of jobs, and how managers use costs to make sub- optimization...