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k0ka [10]
3 years ago
6

Solomon works in the finance department of a hospital operated by the country’s national health service. The hospital wishes to

expand its radiology department, and has put out to tender the construction of a new wing. Solomon has been given the task of summarising the terms of each tender for consideration by the Board.
One evening, at a family dinner party, Solomon learns that his uncle’s construction company is about to tender for the contract. Solomon’s uncle is clearly unaware of how closely involved Solomon is with the tender process, and talks informally with Solomon about the hospital, the quality of his company’s work, and how much his company would benefit from such a prestigious contract.



Before being drawn away to socialise with other guests, Solomon’s uncle mentions that the contract, if awarded to his company, would be very profitable and he is very optimistic, as he feels that the contract price at which his company intends to bid is quite low.

Solomon is very fond of his uncle, whose business has been struggling over recent years. 
He realises that his uncle would have a much better chance of winning the contract if he was made aware of the details of the other tenders.

What do you think about this?​
Business
2 answers:
DochEvi [55]3 years ago
7 0

Answer:

It would be unethical and a conflict of interest for Solomon to let his uncle in on the details because it would give his uncle an unfair advantage against the other bidding contractors. It's a form of nepotism

Explanation:

hope this helps have a great day

Snezhnost [94]3 years ago
7 0

Answer: Solomon is an employee of the hospital and his job is to work in best interest of the hospital. It would be unethical for him to award the tender to his uncle as there is a huge conflict of interest. Solomon must get into the contract at an arm's length.

Explanation:

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This information relates to Cheyenne Real Estate Agency.
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Answer and Explanation:

The Journal entry is shown below:-

1. Cash Dr,                            $31,770

       To Common stock               $31,770

(Being issuance of shares for cash is recorded)

2. No Journal Entry is required

3. Office furniture Dr,          $3,740

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            To service revenue        $10,430

(Being customer billed for service is recorded)

5. Cash                                $185  

            To credit revenue       $185

(Being cash received for service is recorded)

6. Accounts payable $800  

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