Rules of Professionals

The government and accounting professionals have been focusing on accounting policy and procedures since the Enron, WorldCom, and Tyco financial scandals occurred. These financial scandals occurred by company executives and public accounting companies who failed to disclose and account for the known fraud (Casabona & Grego, 2003, p. 16). Due to these financial accounting scandals the Auditing Standards Board (ASB) of the AICPA established Statement on Auditing Standards (SAS), in addition to the requirements made by SOX and the PCAOB, to hold companies and auditors accountable for financial statement reporting (p. 16).

Relevant professional standards for this assignment include AU Section 230, “Due Professional Care in Performance of Work,” AU Section 316, “Consideration of Fraud in a Financial Statement Audit,” AU 319, “Consideration of Internal Control in a Financial Statement Audit.”

54. Statements on Standards for Accounting and Review Services establish standards and procedures for which of the following engagements?

Having competent professional accountants are invaluable assets to the company because they are able to adopt a pragmatic and objective approach to solve issues. Accountancy professionals assist business executives with corporate strategies, provide advice with product cost, improve mitigate risks of the company. Public accountants not only serve the interest of the company but also have the duty to the general public. Therefore, they have a key role in helping organizations to act ethically. Ethical codes for professional accountants globally compels, regardless of the roles that they perform, to uphold values of integrity, objectivity, professional competence and due care, confidentiality, and professional behavior. However, many times,

D. Did Price Waterhouse as the successor auditor follow the substance of the standard? Did they do what they should have done or what the standard allowed

In recent years, both domestic and abroad continued exposure accounting fraud, financial fraud and other cases, internal control has been a hot topic that people focus on. Accounting fraud has spread to all types, become a common phenomenon in the wider economy. In response to this, the recent discussion focused on improving accounting professionals (including accountants and CPAs,) of professional and ethical standards, to strengthen accounting practitioners and increasing the penalties for non-economic aspects.

The non-profit professional organization, American Institute Certified of Public Accountants (AICPA), was founded in the United States of America. The professional organization was founded in 1887, to help ensure that the accounting profession will gain the same respect as the other prestigious occupations have received from the public. The accounting profession, similar to the medical, legal, and engineering profession, is characterized by “…rigorous educational requirements [150 credit hours], high professional standards, a strict code of professional ethics, licensing status [Uniform CPA Examination], and a commitment to serving the public interest” (AICPA, 2016). The five characteristics help ensure that accountancy profession is practiced by competent and ethical accountants. With more than 400,000 members located in 144 countries, the AICPA is the largest professional organization of Certified Public Accountants (CPA) serving in the public’s interest (AICPA, 2016). There are four different types of membership one can obtain at AICPA, but to become a member of the AICPA there are extra requirements. Whether it is passing the Uniform CPA exam, continuing their education, or abiding the AICPA’s Bylaws, it is an extra requirement to guarantee accountants are capable and ethical. The AICPA’s mission is:

Q1. Critically evaluate the ICAEW Code of Ethics and guidance on Professional Conduct in Relation to Taxation for professional tax accountants.

B. The audit committee of the board of directors of a company must hire, compensate, and terminate the public

With professions having this tremendous knowledge regarding a company’s financial standing and not being able to disclose the information to the public it can create major investment errors. With these restrictions in place by the AICPA the accountants and auditors “… in a position of having to choose between earning a livelihood or making a proper ethical choice” (Synder, 2011).

Introduction. The authors study the financial scandals and the recent financial crisis to demonstrate the gap between market processes and accounting standards. The IFRS and U.S. GAAP differ in contrary nature of accounting standards. GAAP is considered as rule-based standards, while IFRS viewed as a principle-based. Therefore, the professional judgment on financial improprieties is highly important (p. 479). The main objective of the research is to specify the impact of ethical setting on judgment and decisions of accountants. The code of ethics and systematic ethics trainings can diminish the inconsistencies from accounting policies. The study is important due its analysis of mechanisms and alternatives of decision-making, and the influence of code of ethics on chief officers’ strategic choices (pp. 484-485). The authors focuses on the problem: how accounting standards contribute to the professional judgment, company financial performance, and earning management. The authors discuss issues that arise because of the unethical financial reporting.

Paper concentrates on the specific instance of professional ethics in the connection of the accounting calling. After quickly examining late occasions that made us reevaluate our understanding of corporate governance, accountancy and ethics, we attempt to delimit the cutting edge by taking a gander at ethics from the accounting callings ' point of view. Instructing ethics to accounting understudies ought to no more attempt to persuade them that they ought to act in an ethical way, however raise their mindfulness with respect to ethical issues in accounting practice. Codes of ethics are subsequently helpful by considering normal issues being managed inside the business environment. It is here that we attempt to bring our commitment by building up a theoretical methodology that would improve ethical conduct. At the point when intending to elucidate professional ethics, we nearly break down respectability taking into account the most recent improvements embraced by European professional bodies. Discoveries are utilized as a part of recognizing approaches to add to the attempt of adjusting the calling 's execution to society 's sensible desires.

In this essay the principles of professionalism will be discussed including its importance to education as a whole, and as a practitioner. The following will be discussed; assessing the different understandings of professionalism, demonstrating factors such as self-awareness, personal qualities and skills. Then examine how these may impact a practitioner

Ethics are very important in any organization. It is a set of principle and values that is used to guide the organization in its’ actions and decisions. The Institution of Management Accountants (IMA) have set a list of ethical standards of conduct which all management accountants have to comply to when providing services at the highest ethical level possible. According to The Institution of Management Accountants (IMA), members of this association have to comply with and uphold to the ethical standards that focuses on competence, confidentiality, creditability, and integrity.

Every profession faces a multiple of ethical challenges on a daily bases, this can be clearly witnessed in the accounting profession. The main focus of this literature review is to discuss the ethical values held in this profession and to also explore the ethical challenges that they face. Professional ethics for accountants is all about making sure that accountants carry out their duties to the highest standard possible and in a very professional manner. A code of ethics is designed to make sure that ideal behaviour is being carried out and it must be enforceable and realistic. From reading a variety of literature the core principles of the code of ethics are as follows: integrity, objectivity, professional competence and due care,