Question

Which of the following actions should a management accountant take first in confronting a potential

ethical conflict concerning your direct supervisor?
A) Inform the Board of Directors of the existence of a potential conflict.
B) Clarify relevant ethical issues by initiating a confidential discussion with an IMA Ethics Counselor.
C) Consult the attorney as to legal obligations and rights concerning the ethical conflict.
D) Follow the organization's procedures concerning resolution of such a conflict.

Answer 1

The correct answer is option D) Follow the organization's procedures concerning resolution of such a conflict.

Step-by-step explanation:

The first action a management accountant should take in confronting a potential ethical conflict concerning their direct supervisor is to follow the organization's procedures concerning resolution of such a conflict. This means adhering to the established guidelines and protocols within the organization for handling and addressing ethical conflicts.

By doing so, the management accountant ensures that the issue is dealt with in a systematic and fair manner.