WGU D550 Task 2 Ethics for Accountants
|Passed on First Attempt |Latest Update with
Complete Solution
D550 – Ethics for Accountants
Brittany Perry – Student IDxxxxxxxx
Task 2
To: John Maelstrom, Senior Partner, Awesome Accounting Associates
From: Brittany Perry, CPA
Dear Mr. Maelstrom,
I am writing to you to report on my findings during the completion of my audit of our client,
Lone Star Athletic Wear (Lone Star). I also have a few recommendations for Awesome
Accounting Associates' actions.
Based on the Lone Star Code of Ethical Conduct, I have discovered at least three significant
ethical code violations for Senior Officers:
1. Section III A.- Indicates that Senior Officers “must avoid any actual or apparent conflict of
interest, as well as any other situation or activity that would compromise their ability to carry out
their duties ethically (Star, 2025).” Loan Star CEO Sam Johnson seems to have an undisclosed
relationship with James Williams, CEO of Sun City Sports, as they were college roommates.
This undisclosed relationship violates the policy, as Lone Star acquired controlling interest in
Sun City Sports two years prior.
2. Section III B- States that “Senior Officers are responsible for upholding Lone Star’s policy to
make full, fair, accurate, timely and understandable disclosure in compliance with all applicable
securities laws and regulations and company policies,” however, I have discovered a major
|Passed on First Attempt |Latest Update with
Complete Solution
D550 – Ethics for Accountants
Brittany Perry – Student IDxxxxxxxx
Task 2
To: John Maelstrom, Senior Partner, Awesome Accounting Associates
From: Brittany Perry, CPA
Dear Mr. Maelstrom,
I am writing to you to report on my findings during the completion of my audit of our client,
Lone Star Athletic Wear (Lone Star). I also have a few recommendations for Awesome
Accounting Associates' actions.
Based on the Lone Star Code of Ethical Conduct, I have discovered at least three significant
ethical code violations for Senior Officers:
1. Section III A.- Indicates that Senior Officers “must avoid any actual or apparent conflict of
interest, as well as any other situation or activity that would compromise their ability to carry out
their duties ethically (Star, 2025).” Loan Star CEO Sam Johnson seems to have an undisclosed
relationship with James Williams, CEO of Sun City Sports, as they were college roommates.
This undisclosed relationship violates the policy, as Lone Star acquired controlling interest in
Sun City Sports two years prior.
2. Section III B- States that “Senior Officers are responsible for upholding Lone Star’s policy to
make full, fair, accurate, timely and understandable disclosure in compliance with all applicable
securities laws and regulations and company policies,” however, I have discovered a major
