The CEO at Enron was able to use his compensation to mount a solid legal defense when the government charged him. Some contend he should not have been allowed to do that. Others say it must be allowed because the defendant is innocent until proven guilty and clawing back his salary and gains would be a pronouncement of guilt if the government did that before the trial. Discuss both sides of this issue from a business and legal perspective, state where you come down on the issue and indicate why.

Croy inc. has the following projected sales for the next five months: month sales in units april 3,850 may 3,875 june 4,260 july 4,135 august 3,590 croy’s finished goods inventory policy is to have 60 percent of the next month’s sales on hand at the end of each month. direct material costs $2.50 per pound, and each unit requires 2 pounds. raw materials inventory policy is to have 50 percent of the next month’s production needs on hand at the end of each month. raw materials on hand at march 31 totaled 3,741 pounds. 1. determine budgeted production for april, may, and june. 2. determine the budgeted cost of materials purchased for april, may, and june. (round your answers to 2 decimal places.)