ACCOUNTING ETHICS

Ethics and the Accounting Profession

Table of Contents

Introduction3

Accounting Scandals4

The Purpose Of Ethics In Accounting6

Fundamental Principles of Accounting Ethics6

Integrity6

Aim7

Competence7

Confidentiality7

Professional Conduct8

Role of Ethics in Accounting8

Ethics in Accounting Education10

Conclusion12

References13

Ethics and the Accounting Profession

Introduction

The word ethics comes from the Greek meaning 'Ethikos' usual way of being, or character, in terms of lifestyle acquired by man. Ethics is the science of human behavior, which explores how we all act against our fellow men and the way in which we operate in our daily activities. It is said that ethics is a science, because it is a rational discipline as part of human acts and carries up to its principles. Ethics is a set of systematic knowledge, methodical and rational based on experience and based on principles. Accounting Ethics

Professional ethics is recognized as normative science that studies the rights and duties of professional in fulfilling their professional activities. Professional ethics also known as Professional Ethics as it deals with the study and treated with the duties and professional behavior in the performance of their professional and personal. Ethics, therefore, is the set of ethical rules of a profession that gives itself and its members must respect. In an etymological sense, Ethics refers to the science of duty or duties. Professional Ethics can be defined as the set of ethical principles voluntarily assumed by those who profess a particular profession, for reasons of integrity, professionalism and social responsibility, which implies a commitment to identity with the role they play in social life. Professional Ethics is the science that studies the various duties and professional behavior in their relationships with their customers and colleagues state (Windal & Corley, 2005).

Issues relating to responsibility for the bookkeeping and financial reporting may be considered in terms of legal and organizational and ethical-moral. Moreover, one can distinguish responsibility "concentrated" and "dispersed". The first case occurs when only the head of the unit is responsible for keeping the accounts, while the second - when, by agreement, part of the responsibility is, transferred to the chief accountant or an accounting office and the manager responsible for the accounting unit for supervision (Maurice, 2007). The Code of Professional Ethics of Certified Public Accountant is intended to serve as a standard of conduct for accounting professionals who, as a profession of scientific and humanistic, should guide your practice to the social function, promoting the conditions for economic progress and welfare of the Company.

Accounting Scandals

The financial scandals that have swept many companies both in the United States and others raised concerns about the role of the governing bodies of departments, as well as audit committees in monitoring and follow-up of financial operations and thus to protect companies from fraud and manipulation, which made the so-called issue of corporate governance under the microscope in terms of cash acute procedures for control measures applied in companies. It was the report of the Commission (COSO) of America in 1987 played an important role in clarifying some of the bad practices by some of the departments of companies, where the ...