Business application- Ted Thalia is Tops Corporation's controller. He has been with the company for 20 years and is being considered for the job of chief financial officer. His boss, who is the current chief financial officer and former company controller, will be Tops's new president. Thalia has just discussed the year-end closing with his boss, who made the following statement during their conversation: "Ted, why are you being so inflexible? I'm only asking you to postpone the $5,000,000 write-off of obsolete inventory for 10 days so that it won't appear on this year's financial statements. Ten days! Do it. Your promotion is coming up, you know. Make sure you keep all the possible outcomes in mind as you complete your year-end work. Oh, and keep this conversation confidential-just between you and me. Okay?"
Required:
1. Identify the ethical issue or issues involved.
2. What do you believe is the appropriate solution to the problem? Be prepared to defend your answer.