Fox hotel collects 12% in city sales taxes on room rentals in addition to a $3 per room, per night occupancy tax. sales taxes for each month are due at the end of the following month, and occupancy taxes are due 15 days after the end of each calendar quarter. on january 3, year 2, fox paid its november, year 1 sales taxes and its fourth quarter, year 1 occupancy taxes. additional information pertaining to fox’s operations is:
year 1 room rentals room nights
october $ 120,000 1,200
november 130,000 1,400
december 160,000 1,900
1. what amounts should fox report as sales taxes payable and occupancy taxes payable in its december 31, year 1, balance sheet?

David burdick is the ceo of acme bubblegum, a successful public company. as one of the cofounders of the company, burdick has enjoyed speaking and writing about the success of acme bubblegum for several years. typically, he speaks at conferences or directly to the press, but recently, he has been blogging about his firm anonymously. specifically, he defended a recent advertising campaign that was unpopular among consumers and pointedly attacked one of acme bubblegum’s competitors. burdick deeply enjoys his anonymous blogging and believes that none of his readers actually know that he works for acme bubblegum.should burdick be allowed to praise his company’s performance anonymously online? should he be allowed to attack his competitors without disclosing his relationship with the company? how would you feel if the ceo of a company at which you shopped was secretly writing criticisms of his or her competition? how would you feel if you knew a writer for your favorite blog was actually closely involved in a company that the blog discussed? 1. define the ethical issue? 2. who are the primary stakeholders? 3. what are the possible alternatives? 4. how could you evaluate the ethical implications of the alternative actions (use appropriate decision rules)? 5. what action would you recommend and why?