F Professional ethics

Which of these is a fundamental principle of ethical behaviour for professional accountants?

• 1 Objectivity
• 2 Profit
• 3 Loyalty to the employer above all else
• 4 Speed

An accountant is asked by a manager to change figures to hide a loss. Which principle is most directly at risk?

• 1 Integrity
• 2 Confidentiality
• 3 Professional competence
• 4 None of the principles

An accountant reviews a report they prepared themselves. Which threat is this?

• 1 Familiarity
• 2 Advocacy
• 3 Intimidation
• 4 Self-review

An accountant is threatened with dismissal if they refuse to approve a payment. Which threat is this?

• 1 Familiarity
• 2 Advocacy
• 3 Self-interest
• 4 Intimidation

What is the purpose of a corporate code of ethics?

• 1 To reduce the number of employees
• 2 To raise the company's profit
• 3 To replace the law
• 4 To set out the values and standards expected of everyone in the organisation

Which is a safeguard against ethical threats?

• 1 Hiding the problem
• 2 Avoiding documentation
• 3 Following the first instruction received
• 4 Seeking advice and having work reviewed by a second person

Confidentiality means an accountant should:

• 1 Not disclose information without proper authority, unless there is a legal or professional duty
• 2 Share any information with the media
• 3 Share information with anyone who asks
• 4 Never share information in any circumstances

What role do professional bodies play in ethics?

• 1 They run the audit of every company
• 2 They set codes, require training and discipline members who break the rules
• 3 They set company tax rates
• 4 They choose the company's directors

Which is a sensible first step when facing an ethical dilemma?

• 1 Ask a colleague to decide without explanation
• 2 Act at once without thinking
• 3 Gather the facts and identify the principles at stake
• 4 Ignore it