Show transcribed image text While reviewing the year-end financial statements for Basler Motors Inc., chief accountant Scott Sondge realizes his original estimate of bad debt expense for the current year is too high the bonus that is linked to the companys percentage increase in earnings. Both he and his supervisor are in line for bonus. Scott is contemplating revising downward bad debt estimate to increase earnings. (a) Should Scott lower his estimate? Who is harmed if does lower it? (b) What if only his supervisors bonus were affected and not his: should this alter Scotts decision?
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