This website uses cookies to ensure you have the best experience. Learn more

Accounting Code Of Ethics Essay

1255 words - 6 pages

aCCOUNTING cODE of eTHICS

LaToya Wallace
AC504

APril 10, 2012

Accounting Code of Ethics
Introduction
The accounting system is ever changing and constantly evolving. Therefore, it is extremely that accountants adhere to very high ethical standards. The code of ethics for accountants “guides those in the profession to behave in a respectful, controlled and moral way. Clients need to have confidence in the business practices of professional accounting firms. A clear ethical code ensures that accountants practice a high standard of business that is exceptional in integrity and professionalism (Maughan, 2012). In its most basic form, an “accountant agrees to uphold the ...view middle of the document...

Competence
“According to the AICPA Code of Professional Conduct, a distinguishing mark of a profession is acceptance of its responsibility to the public” (Roth, 2009). Due to the fact that the accounting world is forever changing and evolving, it is important that all accountants maintain professional knowledge and skill at the level required to ensure that all of their clients receive well-informed professional service. Not knowing a new law or regulation is no excuse for relaying poor information to the client. “The maintenance of competence requires a commitment to learning and professional improvement that must continue throughout an accountant’s professional life” (Roth, 2009).
Conflicts of Interest
Accountants should avoid any and all situations that could possibly create a conflict of interest. “A conflict of interest exists when a person’s private interest interferes in any way with the interests of the company” (Steel, 2003). In other words, when decision is made on the job that would allow them to give favor to a client in exchange for anything of personal benefit to themselves, their friends, or their family would be considered a conflict of interest.
There are several situations that could give rise to a conflict of interest. One of the most common types of conflict is accepting gifts from clients in exchange for favorable treatment or unfair reporting. A gift can be defined as any item or service of value. No employee or member of an employee’s immediate family shall accept any type of gift from an actual or prospective customer or supplier. If at any time an employee or an employee’s family members receives an unsolicited gift, it should immediately be returned as well as reported to the employee’s supervisor.
Another conflict of interest “is when an accountant provides accounting services to a company while owning the company's stock, advises management on financial transactions and audits the company's general ledger or pursues self-interest over that of the general public interest. In short, any activity that limits an accountant's objectivity and independence can create a conflict of interest” (Vitez, 2010)
Conflicts of interest often occur in the accounting profession. Accountants must recognize that they have an enormous amount of responsibility in the business world. Therefore, it is important that they stay away from even appearing to have a conflict of interest with a client.
Client Confidentiality
Client confidentiality is very important in the accounting profession. Accountants are often exposed to “client’s sensitive proprietary information such as the names and status of our client’s customers, performance reviews, salary information, legal matters, research data, company reduction or expansion plans, labor negotiations, finances, and product development” (Unknown, 2011). It is very important that the information that the client is exposed is protected to the highest degree possible. ...

Other Papers Like Accounting Code of Ethics

Code of Ethics Essay

3802 words - 16 pages combined with a regulatory body, standards to determine who may be excluded from the profession on account of unacceptable behaviour. According to Jamal and Bowie (1995) codes of ethics are designed to address three major issues. First code of ethics address instances in which a profession’s self-interest may conflict with public’s interest. For example should social workers be expected to disclose to police confidential information about crimes a

Code of Ethics - Nursing Essay

1501 words - 7 pages , they are able to deliver the care required by the profession and also expected by the society. The importance of the code of ethics for registered nurses guarantees that nurses are accountable for their actions, ethical problem are dealt with in a most appropriate way, nurses are guided about their roles and responsibilities and to ensure that highest standard of care are provided. Ethics is derived from the Greek word “ethos” that means

Personal Code of Ethics

2014 words - 9 pages Personal Code of Ethics My Personal Code of Ethics: In everyday life it is important to strive to maintain a strict code of ethics. Ethics are the foundation of any profession and almost every company you work for has a code that they and their employees try to do live by. For me someone who intends on a career in the business field my code of ethics is not that different from many of the professions we learned about. The first thing I

Business Code of ethics

567 words - 3 pages Business Code of EthicsCode of ethics is vital for any business to run smoothly as it saves company, employees and customers from conflicts and serious management issues.We believe compliance to code of ethics is source of advantage for our company.. The Company`s Code of ethics provide basic set of rules and standers that guide management in decision making as management can develop policies, guidelines and rules based on these set of ethics

Boeing-Code of Ethics

568 words - 3 pages Code of Ethics In March of 2005, Boeing’s Board, “asked for and received” CEO Harry Stonecipher’s resignation, this action was taken following an investigation into a personal relationship between Stonecipher and a female executive of the company (MSN Money, 2005, p.1). Stonecipher was brought in to put a series of scandals behind the company and had been credited with a more aggressive marketing approach. As a result of this ethics

Code of Ethics

600 words - 3 pages Code of Ethics The amusement park has a formal code of ethics that consist of rules and guidelines in regards to employee behavior. These rules and guidelines are put in place to ensure efficient business operations. All employees are held accountable for following the code of ethics. There is zero tolerance for conduct that interferes with operations, and is offensive to customers or coworkers. The amusement park’s aim is to conduct

Code of Ethics

516 words - 3 pages CHIPOTLE MEXICAN GRILL, INC. CODE OF ETHICS FOR CO-CHIEF EXECUTIVE OFFICER As the Co-Chief Executive Officer of Chipotle Mexican Grill, Inc. (the “Company”), I acknowledge that the Company is committed to honesty and ethical conduct in all areas of its business and that officers with responsibility for the conduct or supervision of the Company’s financial affairs play a special role in preserving and protecting shareholders’ interests. In

Code of Ethics Analysis

542 words - 3 pages Code of Ethics Analysis Tina Levering HSM/230 May 17, 2015 Carrie Cooper Code of Ethics Analysis The purpose of the NASW Code of Ethics is to provide guidelines for social workers to follow that will aid them through making decisions that are of an ethical nature. In the field of social services a social worker will likely face many decisions in which this guide will be of great help. According the NASW Code of Ethics, there are six

Code of Ethics - 2330 words

2330 words - 10 pages Happy at Home –Home Health Care Code of Ethics Kendall Fielder Columbia Southern University MBA 6301 Dr. Bari Courts 1/9/2013 Happy at Home - Home Health Care Code of Ethics Introduction Developing a Code of Ethics is tremendously important for any company or organization. These codes will embody the ethical commitments of the company and tell everyone what you stand for and also what they can expect when they conduct business with the

Ana Code of Ethics

1247 words - 5 pages The ANA code of ethics as described in the book of Conceptual Foundations as: ANA's Code of Ethics for Nurses, 2001 • 1. The nurse, in all professional relationships, practices with compassion and respect for the inherent dignity, worth, and uniqueness of every individual, unrestricted by considerations of social or economic status, personal attributes, or the nature of health problems. • 2. The nurse's primary commitment is to the person

Code of Ethics - 1786 words

1786 words - 8 pages the experience of removing barriers that prevent people from enjoying life. We prescribe to relaxation, assist in the concept to relate and release negative energies. We encourage a positive company culture. Our personnel have an empathetic code of ethics, to include values of integrity, accountability, confidentiality as well as encourage the development of creativity and innovation that continues to promote a healthy mind and a healthy being

Related Essays

Code Of Ethics Essay 1381 Words

1381 words - 6 pages Code of Ethics One word: Enron. Most people that follow business know that corporation’s name. In November, 2001 the company admitted to using faulty accounting that had inflated income figures over a four year period of $586 million and a month later the company filed for Chapter 11 bankruptcy (Maxwell, 2003, p. 1). Enron’s executives were not following a code of ethics designed to help protect against dishonest business practices and

Code Of Ethics Essay 1673 Words

1673 words - 7 pages Running Head: Ethics Code Ethics Code of Comparison Paper COUN 501-B13 January 29, 2012 Abstract The American Association of Christian Counselors (AACC) was established to exceed the mark of professional counseling as a Christian counseling. The AACC is based on Christian principles with a strong biblical foundation. The AACC incorporates Psychology and theology to develop and expand effective Christian counselors. The

Code Of Ethics Essay

770 words - 4 pages I currently reside in the state of California. A code of professional ethics is a voluntary assumption of self-discipline above and beyond the requirements of the law. The purpose of this paper is to evaluate the California accounting code of ethics. "As professional, certified public accountants (CPAs) perform an essential role in society" (FITCH, 2001). The code of professional ethics for public accountants was developed by the American

Code Of Ethics Paper

1200 words - 5 pages Code of Ethics Paper Jody Long HCS 435 June 21, 2010 Bob Vella Code of Ethics Paper The code of ethics is a list of rules and policies that is used to get acceptable behavior from members of a group, association, or profession. Each organization has its own code of ethics to work by. Not only does a code of ethics help with the confidence in the organization but also can show that members are committed to the ethical guidelines that