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Steve Is in Charge of Accounting for the Purchase of Equipment

Question 11

Multiple Choice

Steve is in charge of accounting for the purchase of equipment at Cal Works, Inc. The company has a policy that all expenditures less than $1,000 must be expensed. Steve decides to take a $900 expenditure and separate $600 one and combine them into one $1,500 expenditure so that the total can be capitalized thereby eliminating the effects on income. Steve's actions can be characterized as:


A) Lacking in of moral sensitivity
B) Lacking in professional skepticism
C) Loyal to the company's best interests
D) All of these

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