Top management will not approve this product in view of

Mark Ting desperately wants his proposed new product, DNA-diamond, to be accepted by top
management. DNA-diamond is a piece of jewelry that contains the DNA of a boy or girl friend, spouse, or
other loved one. Top management will not approve this product in view of its high break-even point.
Mark knows that if he can reduce that fixed costs in his proposal, then the break-even point will be
reduced to a level that top management finds acceptable. Working with a friend in the company’s
finance department, Mark finds ways to credibly misstate the estimated fixed costs of producing DNAdiamonds below those that any objective person would estimate.
Mark knows that if the product is successful (and he is certain that it will be), then top management will
not find out about the understatement of fixed costs. Mark believes that this product, once it is
successful, will benefit the shareholders and employees of the company.
Required
Are Mark’s actions ethical? Explain.