Term
| What are the six core ethical values developed by the Josephson Institute of Ethics |
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Definition
| Trustworthiness, respect, responsibility, fairness, caring, citizenship |
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Term
| What are the two primary reasons why people act unethically |
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Definition
| The persons ethical standards are different from those of society as a whole, or the person chooses to act selfishly |
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Term
| What is an ethical dilemma |
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Definition
| A situation a person faces in which a decision must be made about the appropriate behavior |
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Term
| What are common rationalizations of unethical behavior? |
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Definition
| Everybody does it, If it’s legal it’s ethical, unlikely to be discovered and have consequences |
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Term
| What is the six-step approach to resolving ethical dilemmas? |
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Definition
1. Obtain the relevant facts
2. Identify the ethical issues from the facts
3. Determine who is affected by the outcome of the dilemma and how each person or group is affected
4. Identify the alternatives available to each person who must resolve the dilemma
5. Identify the likely consequence of each alternative
6. Decide the appropriate action |
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Term
| What is the reason for an expectation of a high level of professional conduct by any profession? |
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Definition
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Term
| Who are the primary beneficiaries of the audit? |
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Definition
| Financial statement users |
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Term
| Who are the two most influenctial factors of ethics? |
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Definition
| PCAOB and SEC, and the Code of Professional Conduct |
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Term
| What are the four parts to the AICPA Code of Professional Conduct? Which part is enforceable |
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Definition
| Principles, rules of conduct, interpretations of the rules of conduct, and ethical rulings; rules of conduct |
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Term
| What are the 6 ethical principles in the code |
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Definition
| Responsibilities, public interest, integirity, objectivity & independence, due care, scope and nature of services |
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Term
| SEC added a cooling off period before a member of the audit engagement team can work for the client in certain key mgmt. positions of how long? |
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Definition
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Term
| How often must the lead and concurring audit partner rotate off the audit engagement |
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Definition
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Term
| SEC rules prohibit any ownership by covered ersons and their immediate family including |
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Definition
| : members of the audit engagement team, those I position to influence the team, paretns and managers who provide more than 10 hours of nonaudid serices ot eh client, and parteners in the office of the parter primarily responsible for the audit engagement |
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Term
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Definition
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Term
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Definition
| Integrity and Objectivity |
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Term
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Definition
| General Standards Professional competeance, due professional care, planning and supervision, sufficient relevant data |
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Term
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Definition
| COmplaince with Standards |
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Term
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Definition
| Accounting Principles: follow GAAP |
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Term
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Definition
| Confidential Client Information |
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Term
| What are the exceptions to confidentiality? |
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Definition
| obligations related to technical standards, subpeona, peer review |
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Term
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Definition
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Term
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Definition
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Term
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Definition
| Adverstising and other forms of solicitation that is false or misleading |
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Term
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Definition
| Commissions and Referral Fees: |
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Term
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Definition
| form of organization and name |
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