Ethics in the Accounting Profession
13. Is a professional accountant a businessperson pursuing profit or a fiduciary that is to act in the public interest?
I found that in Chapter 1 of our text on page 22 it tells us that professional accountants owe their primary loyalty to the public interest, not just to their own financial interests, company directors or management, or current shareholders at the expense of future shareholders. I believe that an accountant is both morally and ethically bound to work according to certain rules and regulations specified in the interest of the public. A good accountant will never cut corners and will always act ethically, which may cause a stir within the company that they are working for. The positive aspect of this is that building trust brings higher goodwill for the professional accountant and in the long run would earn them a lot of work and more money. (http://www.justanswer.com) So I think as an answer to this question, a professional accountant should always act in the public interest.
14. Why is it important for a professional accountant to understand the ethical trends discussed in this chapter?
In my opinion, as we have found in Chapter 1 of our text this week, the public expects all professional accountants to respect the professional values of objectivity, integrity, and confidentiality, which are designed to protect the fundamental rights of the public, an employee-accountant must respond to the direction of management and the needs of current shareholders. Ethics and the importance of ethical decision making have taken on increasing significance because of the pressures placed on business managers by stockholders, creditors, and other parties affected by financial performance. It is not surprising therefore that a recent survey of investment management firms revealed that nearly three-quarters of the respondents felt that unethical behavior, such as personal trading,...