Accounting Ethics, 3rd Edition

Book description

A trusted resource on the complex ethical questions that define the accounting profession

An accountant’s practice depends on making difficult decisions. To achieve the best results, individual accountants and accounting firms need a clear understanding of the ethical duties and decision-making involved in the four major functions of modern accounting—auditing, management accounting, tax accounting, and consulting—as well as a strong sense of ethical conduct to guide the certification and validation of reliable financial records.

Now in its third edition, Accounting Ethics is a thorough and engaging exploration of the ethical issues that accountants encounter in their professional lives. Since the publication of the first edition in 2002, Accounting Ethics has become an indispensable resource for accounting courses and certification programs worldwide, known for its focus on real-world application, practical advice, reader-friendly guidance, and its insight into the effects of global change on the profession. Together with coverage of the contemporary regulatory environment—including the Sarbanes-Oxley Act, the Public Company Accounting Oversight Board, and the Dodd–Frank Wall Street Reform and Consumer Protection Act—this revised edition features expanded pedagogical resources such as new end-of-chapter case studies and discussion questions, and includes the updated AICPA Code of Conduct.

Concise and dependable, Accounting Ethics sustains its reputation as an authoritative resource for practicing accountants, new professionals, students of accounting, and those who are considering the profession.

Table of contents

  1. Cover
  2. Preface to the Third Edition
  3. Introduction to Accounting Ethics
  4. Chapter One: The Nature of Accounting and the Chief Ethical Difficulty
    1. The Nature of Accounting
    2. Ethics of Disclosure
    3. The Financial Statement
    4. Roles an Accountant can Fulfill
    5. Development of Explicit Accounting Standards and Regulations
    6. The Sarbanes–Oxley Act (SOX)
    7. Recent Scandals that Provoked More Regulation
    8. Conclusion
    9. Discussion Questions
    10. In the News
  5. Chapter Two: Ethical Behavior in Accounting
    1. What is Ethics?
    2. Ethics: The Intellectual Enterprise
    3. Actions
    4. Social Practices, Institutions, and Systems
    5. Why Study Ethics?
    6. Being Ethical: How to Determine What to Do
    7. Questions to Ask to Justify an Action: The Basis of Ethical Theory
    8. Is the Action Good for Me?
    9. Is the Action Good or Harmful for Society?
    10. Is the Action Fair or Just?
    11. Does the Action Violate Anyone’s Rights?
    12. Have I Made a Commitment, Implied or Explicit?
    13. Using the Reasons
    14. Ethical Dilemmas
    15. Some Classic Moral Dilemmas
    16. Discussion Questions
    17. In the News
  6. Chapter Three: Ethical Behavior in Accounting
    1. Egoism
    2. Utilitarianism
    3. Kant and Deontology
    4. Deontological Ethics
    5. The First Formula of the Categorical Imperative
    6. The Second Formula of the Categorical Imperative
    7. Virtue Ethics
    8. Discussion Questions
    9. In the News
  7. Chapter Four: Accounting as a Profession
    1. Discussion Questions
  8. Chapter Five: Accounting Codes of Conduct
    1. AICPA Professional Code of Conduct
    2. Code Principles
    3. 0.300.020.01 – Responsibilities Principle
    4. 0.300.030.01 – The Public Interest Principle
    5. 0.300.040.01 – Integrity Principle
    6. 0.300.050.01 – Objectivity and Independence Principle
    7. 0.300.060.01 – Due Care Principle
    8. 0.300.070.01 – Scope and Nature of Services Principles
    9. Criticisms of the Code of Conduct
    10. Discussion Questions
    11. In the News
  9. Chapter Six: The Rules of the Code of Conduct
    1. Conceptual Framework
    2. Sub‐section 100: Integrity and Objectivity Rule
    3. Sub‐section 200: Independence Rule
    4. Section 1.300.001: General Standards Rule
    5. Sub‐section 400: Acts Discreditable
    6. Sub‐section 500: Fees and Other Types of Remuneration Rule
    7. Sub‐section 600: Advertising and Other Forms of Solicitation Rule
    8. Sub‐section 700: Confidential Information Rule
    9. Sub‐section 800: Form of Organization and Name Rule
    10. Responsibilities to Colleagues
    11. Discussion Questions
    12. In the News
  10. Chapter Seven: The Auditing Function
    1. The Ethics of Public Accounting
    2. Trust
    3. The Auditor’s Responsibility to the Public
    4. The Auditor’s Basic Responsibilities
    5. Independence
    6. Independence Risk
    7. Professional Skepticism
    8. Reasonable Assurance
    9. Discussion Questions
  11. Chapter Eight: The Ethics of Managerial Accounting
    1. Reasons Used to Justify Unethical Behaviors
    2. Blowing the Whistle
    3. Discussion Questions
  12. Chapter Nine: The Ethics of Tax Accounting
    1. Discussion Questions
    2. In the News
  13. Chapter Ten: Ethics Applied to the Accounting Firm
    1. Accounting as a Business
    2. The Social Responsibility of Business
    3. Good Ethics is Good Business
    4. Ethical Responsibilities of Accounting Firms
    5. The Accounting Profession in Crisis
    6. Discussion Questions
    7. In the News
  14. Appendix A: Summary of Sarbanes–Oxley Act of 2002
  15. Appendix B: IMA Statement of Ethical Professional Practice
    1. Principles
    2. Standards
    3. I.  Competence
    4. II.  Confidentiality
    5. III.  Integrity
    6. IV.  Credibility
    7. Resolving Ethical Issues
  16. Index
  17. End User License Agreement

Product information

  • Title: Accounting Ethics, 3rd Edition
  • Author(s): Ronald F. Duska, Brenda Shay Duska, Kenneth Wm. Kury
  • Release date: November 2018
  • Publisher(s): Wiley-Blackwell
  • ISBN: 9781119118787