Jason Archer is the CEO of JCPenney. Because Jasons bonus is based on the companys...
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Accounting
Jason Archer is the CEO of JCPenney. Because Jasons bonus is based on the companys earnings, he has directed the controller to use FIFO as the inventory costing method. Jason did not tell the controller his real reason for the directive; instead, he stated that he thought the FIFO better reflected the actual flow of inventory costs. Was Jasons decision to select FIFO appropriate? Is it ethical? Is Jason wrong if this will help the company and also benefit him too?
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