Answer Happy

George's Dilemma: During the last week of December 2019, George,controller for We 'R" Appliances, received a memo from the firm'spresident, Jane Anderson. The memo stated that Anderson hadnegotiated a very large sale with a new customer and directedGeorge to see that the order was processed and the goods shippedbefore the end of the year (12/31). Anderson noted that she had todepart from the usual credit terms of n/30 and allow terms of n/60to cinch the sale. Although, the credit terms were unusual for thecompany, George was particularly pleased with the news becausebusiness had been somewhat slow. The goods were shipped on 12/29and the sale was incorporated into the 2019 financial data. It isnow mid-February 2020, and two events have occurred recently that,together, cause George concern. First, George was inadvertentlycopied on a letter from the firm's bank to Anderson. The letterstated that the bank had reconsidered its decision to deny a loanto the company and is now granting the loan based on the new, andfavorable, sales date supplied by the president. The bank was"particularly impressed with the sales improvement shown inDecember." Although George had been involved in the initial loanapplication that was denied, he had been unaware that the presidenthad reapplied for the loan. The second event was that all of thegoods shipped on December 29, 2019, to the new customer had justbeen returned. Please address what should George do? What can'tGeorge do?