Prepare a draft report of CASAA( a non-profit organization) health project

CASAA is a nonprofit org anization. Among other projects, CASAA received a $1.35 million grant for a health project. The health project started in January 2017 and was almost complete at the end of 2017. The initial duration of the project was 1 year, with a possibility to increase the project duration for another 2 years as stipulated in the project agreement. After the end of the first year, CASAA needed to report to its donor.John Donavan, Lead Management Accountant of CASAA and a Certified Management Accountant (CMA), was responsible for the overall financial reporting of the project. At the end of 2017, the project was 95% complete. John prepared the following budget – actual report:Head of Accounts Budgeted Amount Actual AmountJan-2017 to Dec-2017 Jan-2017 to Dec-2017USD USDProject Management – Salary & Benefits Project Technical Coordinator 60,000 60,000Project Manager (field operation) 100,000 90,000Knowledge Management Specialists 200,000 165,500Regional Project Coordinators 100,000 82,000Data Analysts 80,000 69,000Accountants 100,000 99,000Total – 1 Salary & Benefits 640,000 565,500Travelling & Transportation Cost Project Technical Coordinator 5,000 3,745Project Manager 9,000 5,829Knowledge Management Specialists 2,000 3,419Regional Project Coordinators 5,000 7,304Data Analysts 1,000 260Accountants 2,000 805Total – 2 Travelling & Transportation Cost 24,000 21,362Asset & Operational Cost Coordination Office Rent 10,000 10,495Furniture for Coordination Office 5,000 6,343Electricity/Gas/Utilities 12,000 11,254Digital camera with accessories 2,000 1,986Laptop, Computer & Printer 15,000 15,289Communication cost (Internet, courier and postage) 3,000 1,235Mobile phone call charges (Program communication, patient follow up etc.) 20,000 16,423General Office Supplies 5,000 3,556Total – 3 Asset & Operational Cost 72,000 66,581Capacity Development Training materials development & printing 20,000 12,305Materials and Equipment support 5,000 2,335Subsistence allowance costs for Training 20,000 12,456Subsistence allowance for Master Trainers including refreshment and lunch (3 days) 12,000 9,855Subsistence allowance for Basic Training Participants including refreshment and lunch (3 days) 25,000 20,934Travel costs training 4,000 6,324Subsistence allowance for clinical training assistants 4,000 3,244Training Materials (Bag, pen, folders etc.) 10,000 7,864Materials/Equipment support to Hospitals 100,000 108,895Training of Master Trainers (1 day) 12,000 11,305Orientation Regional Managers 12,000 10,346Orientation of pediatrician (500) and gynecologist and obstetricians (700) – total 1200 50,000 44,234Orientation of nurses, paramedic/physiotherapist 12,000 11,224Medical/nursing students orientation 12,000 12,124Orientation of Community Health Workers 20,000 20,123Incentive – Case Referral fee 5,000 2,358Total – 4 Capacity Development 323,000 295,926Awareness Building & Communication Mobilization Social mobilization activities 2,000 1,452Advocacy meeting with Professionals 2,000 1,468Local level advocacy meeting/Parent support group formation/meeting 1,000 1,845Poster development & printing 15,000 10,924Leaflet development & printing 15,000 12,859One pager/flip chart/booklet 10,000 3,92408Meeting with Health/Educational institute/professional bodies 10,000 8,364National/International advocacy meetings & dissemination workshops/seminars 20,000 22,186Other stakeholder meetings 20,000 19,072Total – 5 Awareness Building & Communication Mobilization 95,000 82,094Curriculum & Guideline Development Meetings for Module development 25,000 23,002Module and curriculum printing + illustration costs 30,000 32,123Meetings for Guidelines Development & Redbook review 30,000 18,301Guideline and Redbook printing & illustration costs 10,000 7,801Other Review Meetings 1,000 1,980Consultant hire for guideline and curriculum development – fees 50,000 46,000Total – 5 Curriculum & Guideline Development 146,000 129,207Total Budget (1+2+3+4+5) 1,300,000 1,160,670Research 44,000 25,114Evaluation 6,000 4,534Total Amount 1,350,000 1,190,318After reviewing the draft report, the CEO of CASAA instructed John to complete the report by estimating the remaining cost of the project (5%) and making sure that the expenditures are within 5% of the budgeted amount. The agreement, between CASAA and the donor stipulated that if the expenditures are within 5% of the budgeted amount, then CASAA need not give back/adjust the unutilized funds to the donor.Questions:Prepare a draft report of the budget – actual report using the CEO’s instructions to complete the project and make the expenditures within the 5% range.Was the CEO’s request to make the expenditures within the 5% range a proper request? Why or why not? Given the CEO’s request, what can John do? Of his options, what do you recommend John do?The IMA Statement of Ethical Professional Practice provides guidance for management accountants regarding ethical decisions. Discuss how the statement can guide John in making his decision. Specifically discuss the following four standards as they relate to John and his situation:CompetenceConfidentialityIntegrityCredibilityWhat can happen to John if he does not comply with the ethical standards set forth by the IMA?Evaluate the ethics of the CEO of CASAA.Members of IMA shall behave ethically. A commitment to ethical professional practice includes overarching principles that express our values and standards that guide member conduct.PrinciplesIMA’s overarching ethical principles include: Honesty, Fairness, Objectivity, and Responsibility. Members shall act in accordance with these principles and shall encourage others within their organizations to adhere to them.StandardsIMA members have a responsibility to comply with and uphold the standards of Competence, Confidentiality, Integrity, and Credibility. Failure to comply may result in disciplinary action.COMPETENCEMaintain an appropriate level of professional leadership and expertise by enhancing knowledge and skills.Perform professional duties in accordance with relevant laws, regulations, and technical standards.Provide decision support information and recommendations that are accurate, clear, concise, and timely. Recognize and help manage risk.CONFIDENTIALITYKeep information confidential except when disclosure is authorized or legally required.Inform all relevant parties regarding appropriate use of confidential information. Monitor to ensure compliance.Refrain from using confidential information for unethical or illegal advantage.INTEGRITYMitigate actual conflicts of interest. Regularly communicate with business associates to avoid apparent conflicts of interest. Advise all parties of any potential conflicts of interest.Refrain from engaging in any conduct that would prejudice carrying out duties ethically.Abstain from engaging in or supporting any activity that might discredit the profession.Contribute to a positive ethical culture and place integrity of the profession above personal interests.CREDIBILITYCommunicate information fairly and objectively.Provide all relevant information that could reasonably be expected to influence an intended user’s understanding of the reports, analyses, or recommendations.Report any delays or deficiencies in information, timeliness, processing, or internal controls in conformance with organization policy and/or applicable law.Communicate professional limitations or other constraints that would preclude responsible judgment or successful performance of an activity.Business Leadership & EthicsIMA Statement of Ethical Professional PracticeResolving Ethical IssuesIn applying the Standards of Ethical Professional Practice, the member may encounter unethical issues or behavior. In these situations, the member should not ignore them, but rather should actively seek resolution of the issue. In determining which steps to follow, the member should consider all risks involved and whether protections exist against retaliation.When faced with unethical issues, the member should follow the established policies of his or her organization, including use of an anonymous reporting system if available.If the organization does not have established policies, the member should consider the following courses of action:The resolution process could include a discussion with the member’s immediate supervisor. If the supervisor appears to be involved, the issue could be presented to the next level of management.IMA offers an anonymous helpline that the member may call to request how key elements of the IMA Statement of Ethical Professional Practice could be applied to the ethical issue.The member should consider consulting his or her own attorney to learn of any legal obligations, rights, and risks concerning the issue.If resolution efforts are not successful, the member may wish to consider disassociating from the organization.****This is the entire question that was given, and the only information that has been given. It appears as though this problem is to make some assumptions on the information given and discuss what the implications are from an ethical standpoint. From reading the problem, I think we are to assume 5% of the work for every activity still remains and the person requesting the report wants to make sure the remaining expenditures fall within 5% of what was budgeted. Essentially I am guessing here that numbers are going to need to be manipulated to get the result the person asking for the project is looking for?

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