Ethical Code of Conduct - Case Study Example

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This case study talks about an ethical code of conduct which exists at least in every profession. In the accounting profession, for instance, every accounting officer has to abide by the rules and ethical principles of accounting. An accountant must maintain his loyalty to the ethical provisions…
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Download file to see previous pages The case study "Ethical Code of Conduct" talks about an ethical code of conduct which exists at least in every profession. In the accounting profession, for instance, every accounting officer has to abide by the rules and ethical principles of accounting. An accountant must maintain his loyalty to the ethical provisions. Every accountant has to ensure that no one influences him to do something that would be unethical no matter the circumstances. The reason for this is that the result may be as stated earlier, criminal and ethical violations and also may be detrimental to many others who have interests in the company. In the case of Northstar Company, the accountant is faced with an ethical issue. He has to increase expenses arbitrarily for no justifiable reasons that would also affect everyone in the company. As a result of increasing expenses despite having had low-income investors capital may be at risk considering there is no guarantee that increasing expenses would justifiably increase income. In fact, the President seems to be having no good motive for the company other than getting his incentive. Fooling the company that it made profits yet it does not mean well for the company’s future. The company may continue making losses a matter that would lead to loss of employment for other members of staff. They could lose essential factors for the investors such as markets through improper financial investments. Under these circumstances, the best thing to do is find out why there was low income during the current year. ...Download file to see next pagesRead More
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