Professional Ethics(英文版)(ppt 47页)

values are incorporated into laws.
Why People Act Unethically
Prescribed Ethical Principles Example
Ethical Dilemmas
Rationalizing Unethical Behavior
Resolving Ethical Dilemmas
CPAs Encouraged to Conduct Themselves at a High Level
CPA examination
GAAS and interpretations
Conduct of CPA firm personnel
Continuing education requirements
Rule 101 Independence
Independence in performing attest services Required by standards Independent in appearance and fact
SEC Independence
Independence in fact – mental state of objectivity and free of bias
Any auditor that has been offered employment with audit client must be removed from audit and that portion of the audit reviewed closely
AICPA Interpretations
practitioner must justify departure.
Code of Professional Conduct
Published explanations and answers to questions about the rules of conduct Ethical submitted to the AICPA by practitioners rulings and others interested in ethical requirements
Resolving Ethical Dilemmas
Ethical Dilemma
A staff person has been informed that he will work hours without recording
them as hours worked. Firm policy prohibits this practice. Another staff person has stated that this is common practice in the firm.
CPAs Encouraged to Conduct Themselves at a High Level
SEC
Peer review
Conduct of CPA firm personnel
Quality control
CPAs Encouraged to Conduct Themselves at a High Level
Legal liability
Division of CPA firms
Conduct of CPA firm personnel
Code of Professional Conduct
Code of Professional Conduct
Ideal standards of ethical Principles conduct in philosophical terms
Ethical Dilemma
Is it ethical for the staff person to work hours and not record them as hours worked in this situation?
Who is affected? How are they affected? What alternatives does the staff
Rules of Professional Conduct
Rule 501: Acts Discreditable Rule 502: Advertising Rule 503: Commissions and Referral Fees Rule 505: Form of Practice
and free of conflicts of interest.
Ethical Principles
5. Due Care Members should observe the profession’s standards and strive to improve competence.
6. Scope and Nature of Services A member in public practice should observe
moral judgments in all their activities. 2. Public Interest
Members should accept the obligation to act in a way that will serve and honor the public.
Ethical Principles
Interpretation of the rules of
Interpretation conduct by the AICPA Division
of the rules
of Professional Ethics
of conduct They are not enforceable, but a
Rule 101: Independence Rule 102: Integrity and Objectivity Rule 201: General Standards Rule 202: Compliance with Standards Rule 203: Accounting Principles Rule 301: Confidential Client Information Rule 302: Contingent Fees
SEC Disclosures
Disclose fees in proxy statements Related to
Audit fees Consulting fees Efforts to maintain independence
ISB – Independence Standards Board
They are not enforceable, but a practitioner must justify departure.
Ethical Principles
1. Responsibilities Professionals should exercise sensitive and
plans Canຫໍສະໝຸດ Baidut perform in the capacity of an employee or
We may or may not have considered them explicitly.
Need for Ethics
Ethical behavior is necessary for a society to function in an orderly manner.
The need for ethics in society is sufficiently important that many commonly held ethical
They are not enforceable.
Minimum standards of ethical Rules of conduct stated as specific rules conduct
They are enforceable.
Code of Professional Conduct
Created in response to SEC pressures Issued independence standards Disbanded in 2001 Major Contributions
Auditor must discuss independence with audit committee annually
Cannot have any direct interest nor a material indirect interest of a client.
Can’t have a loan from a client (exceptions to this rule)
No joint business ventures with a client No trustee situations including with pension
Independence in appearance – reasonable investor, with all relevant facts and circumstance, would consider the auditor capable of exercising objective and impartial judgment
3. Integrity Members should perform all responsibilities with integrity to maintain public confidence.
4. Objectivity and Independence Members should be objective, independent,
person have?
Special Need for Ethical Conduct in Professions
Our society has attached a special meaning to the term professional. A professional is expected to conduct himself or herself at a higher level than most other members of society.
Applies to the audit engagement team, chain of command and immediate family
SEC Restricts Certain Services for Audit Clients
Bookkeeping IT design and implementaion Appraisal/valuation Acruarial services Internal Audit Management Function Human resources Broker dealer services Legal services
Professional Ethics(英文版)(ppt
47页)
What are Ethics?
Ethics can be defined broadly as a set of moral principles or values. Each of us has such a set of values.
the Code of Professional Conduct.
Standards of Conduct
Ideal conduct
Principles
Minimum Level
Substandard conduct
Rules of conduct
Rules of Professional Conduct