Managerial accountant in the accounting department


Problem: Samantha Galloway is a managerial accountant in the accounting department of Mustang Industries, Inc. Samantha has just discovered evidence that some of the corporation's marketing managers have been wrongfully inflating their expense reports in order to obtain higher reimbursements from the firm. According to the Institute of Management Accountants' Standards of Ethical Conduct, what should Samantha do upon discovering this evidence?

(1) notify the president of the corporation.

(2) ignore the evidence because she is not part of the Marketing Department.

(3) notify the marketing managers involved.

(4) notify the controller.

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