ACCT 245 Ch. 1 - ethics

integrity

abstain from engaging in or supporting any activity that might discredit the profession

credibility

communicate information fairly and objectively

the IMA's 4 ethical standards

credibility, competence, integrity, confidentiality

IMA's Statement on Ethical Professional Practice

developed by the IMA to help MAs deal with ethical challenges, remind us that society expects professional accountants to exhibit the highest level of ethical behavior

credibility

disclose all relevant information that could reasonably be expected to influence an intended user's understanding of the reports, analyses, or recommendations

credibility

disclose delays or deficiencies in information, timeliness, processing, or internal controls in conformance with organization policy and/or applicable law

how to resolve ethical dilemmas?

discuss the situation with the immediate supervisor, discuss the unethical situation with an objective advisor, consult an attorney regarding legal obligations and rights

IMA's ethical principles

honesty, fairness, objectivity, and responsibility

confidentiality

inform all relevant parties regarding appropriate use of confidential information. monitor subordinates' activities to ensure compliance.

confidentiality

keep information confidential except when disclosure is authorized or legally required

competence

maintain an appropriate level of professional expertise by continually developing knowledge and skills

integrity

mitigate actual conflicts of interest. regularly communicate with business associates to avoid apparent conflicts of interest. advise all parties of any potential conflicts.

competence

perform professional duties in accordance with relevant laws, regulations, and technical standards

competence

provide decision support information and recommendations that are accurate, clear, concise, and timely

competence

recognize and communicate professional limitations or other constraints that would preclude responsible judgement or successful performance of an activity

integrity

refrain from engaging in any conduct that would prejudice carrying out duties ethically.

confidentiality

refrain from using confidential information for unethical or illegal advantage