Description: And in a second accounting update from the small Province of New Brunswick, a recent investigation by the CBC has revealed that government officials invented renovations for over 2,000 residential properties in the province, creating big increases in tax assessments for the homeowners. An email revealed that government invented the renos when assessment officials did not have the resources to confirm whether or not they had taken place. The Premier is stating he knew nothing of the invented renovations.
Date: March 31, 2017
1) Where can you read about accounting for land and real estate in Wiley’s Kimmel, Financial Accounting: Tools for Business Decision-Making, Sixth Canadian Edition?
2) What do you think may have prompted those in the civil service to have taken the rather unusual (and unethical) step of inventing renovations?
3) Do you believe the government ministers in charge of the matter should resign?