Nathan Mikkelsen has been employed for nearly two years as a purchasing agent for Hours Inc. Nathan accidentally overheard his coworker, Tim Cleveland, making large purchases from Largo Corporation. During the conversation, Cleveland made arrangements to use Largo's hunting lodge for one week. Nathan asked Cleveland about the deal because he recalled Largo's bid was slightly higher than the other suppliers' bids. Cleveland explained that he had done business with Largo for years and that they had a good business relationship. He also pointed out that Nathan might enjoy working out a similar arrangement with Largo. Nathan was concerned because he knew that accepting gifts or favors from suppliers was against company policy. In fact, he knew that it was against company policy to accept even small gifts.