Module 6

Ethics in Accounting &

Business

Main Topics
What is Ethics all about?
Role of Regulatory bodies & Professional
bodies
Corporate Code of Ethics
Ethical conflicts & delimma

What is Ethics all about?

Relates to standards of behavior acceptable
to rationale thinking persons in the society.
Living by morals.
Following of rules and regulations.
maintaining the right type of behavior whilst
in a profession.
Saying NO to undesirable requests, morals
and behavior.
Being a good citizen at all times.
Doing your duty justly and not only for a
benefit. Putting the `Almighty as a reason for
doing your duty.

Role of Regulatory bodies & Professional

bodies
Regulatory bodies would be government
centered and expect all to abide by rules
and regulations.
Example- Transport Control Board, AntiLitter Board, Taxation Department.
Rules apply to almost everyone as
applicable.
Breaking of rules could lead to fines and or
imprisonment.

Profession Bodies have members of a

particular profession. Example- Accounting
Profession, Lawyers Profession, Doctors
Profession, Architects Profession.
Members of such associations have its own
codes of ethics that members have to
adopt.
Members who break the ethics code may
lose membership.
Limited control in implementing punishment
on members who are unethical.

Corporate Code of Ethics

These are codes to be adopted by those
who are associated with the business.
Requirements exist for its employees.
Requirements the firm have to fulfill in order
to carry out its business properly.
Ethical Requirements could be in terms of :
employment conditions, dealings with
customer, treatment of its environment, its
dealing with other business operators.

Ethical conflicts & delimmas

Delimmas or conflicts arise when there is a
clash between legal and ethics.
Its unethical to kill any living thing even
God says that.however, its not unethical
for the army or police to kill a fellow human
being and its legal as the person killed
would be a enemy or a dangerous criminal.
Taking of gifts.

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