Please answer the case using your best ethical judgment and knowledge of accounting standards for revenue recognition. Structured questions for the case write-up include: 1. Does Sarah have all of the facts? What accounting standards and ethical guidelines are available to her? 2. Why does she feel pressured? How do the virtues com- pete to make this decision difficult? 3. What are her alternatives and the consequences? 4. What do the rules say? Specifically research and address IMA's Statement of Ethical Professional Practice as a guide to your answer. 5. Which overarching virtues are most important in this decision? 6. What are the possible steps to resolve the problem? CASE NARRATIVE: VIRTUES IN CONFLICT Sarah Grant is the CFO of Frame Tec, Inc., a large region- al construction contractor with approximately 300 employees. The owners are exceptionally kind and intelli- gent carpenters who worked their way up in the business world through hard work and solid ethics. Sarah has enjoyed working with them for more than 10 years. They have accepted her as an essential part of the upper man- agement team, and they rely on her judgment. Sarah and the upper management team had a rough stretch about a year ago. Against Sarah's strongest recom- mendations, the owners decided to buy lumber directly from lumber mills and hired Jack Jones, a lumber profes- sional, to handle the purchasing. Prior to this, Frame Tec utilized the services of resellers. Resellers usually provide fixed bids for lumber pricing when a project is estimated. They hold their prices and normally bear the risk for changing market conditions. Sarah was very concerned that the company was taking an unnecessary risk by los-