Craig thorne works in a public accounting firm and hopes to eventually become a partner. the management of allnet company invites thorne to prepare a bid to audit allnet's financial statements. in discussing the audit fee, allnet's management suggest a fee range in which the amount depends on the reported profit of allnet. the higher the profit, the higher will be the audit fee paid to thorne's accounting firm. what are the ethical factors in this situation

Salge inc. bases its manufacturing overhead budget on budgeted direct labor-hours. the variable overhead rate is $8.10 per direct labor-hour. the company's budgeted fixed manufacturing overhead is $74,730 per month, which includes depreciation of $20,670. all other fixed manufacturing overhead costs represent current cash flows. the direct labor budget indicates that 5,300 direct labor-hours will be required in september. the company recomputes its predetermined overhead rate every month. the predetermined overhead rate for september should be: