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ACCA Applied Knowledge · Business and Technology · Ethical conflicts and dilemmas

Tomas, an accountant, discovers that a colleague has been falsifying mileage claims. Tomas has raised it with the colleague, who dismissed it. What is the MOST appropriate next step for Tomas?

Tomas should follow the organisation's internal escalation or whistleblowing procedure, for example reporting to a senior manager or the audit committee. Internal routes come first, external disclosure is a later resort, and ignoring dishonesty because amounts are small would breach integrity.

  1. AReport the matter to the external press to protect the public
  2. BFollow the organisation's internal escalation or whistleblowing procedure, such as reporting to a senior manager or the audit committeeCorrect
  3. CTake no further action because the amounts are small

Explanation

After the direct approach fails, the usual step is to use internal procedures, escalating to higher management or those charged with governance. Going to the press would normally breach confidentiality prematurely, and ignoring dishonesty because it is small breaches integrity.

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