Ethics for Accountants - D550
(Quizzes) Comprehensive
Questions (Frequently Tested)
with Verified Answers Graded
A+
Jane finds a material misstatement while auditing a client's accounts receivables. Her senior
tells her to ignore the misstatement so that the client does not get upset. Jane wants to be
viewed as a team player in order to advance in the firm, so Jane follows her senior's instructions
and ignores the misstatement. Which ethical theory did Jane use to make her decision? -
Answer: egoism
Ethical relativism can best be described as - Answer: a point of view that morality is relative to
the norms of one's culture.
The Public Interest Principle in the AICPA Code of Professional Conduct recognizes - Answer: the
importance of integrity in decision making.
Objectivity requires that a CPA should - Answer: maintain a mental attitude of intellectual
honesty and impartiality.
The Independence Principle in the AICPA Code applies to - Answer: all CPAs who render
attestation services.
, A CPA would violate the Due Care Principle if he/she - Answer: undertook a professional
engagement without having the requisite background, knowledge, and experience.
Under the IMA's standards of ethical practice, an accounting professional can consider
informing authorities or individuals not employed by the organization when an ethical dilemma
occurs about an accounting or financial reporting matter that remains unresolved if he/she -
Answer: believes there is a clear violation of the law.
Kelly is the controller of a small company. One day the CFO comes in and tells her to lower the
estimate of uncollectible accounts receivable. Kelly insists her numbers are correct as is. The
CFO tells her it will mean her job at the company if she doesn't go along with the smaller
estimate. The primary virtue that would enable Kelly to resist the pressure to manipulate the
number is - Answer: integrity.
The most important duty of public accounting is to the - Answer: investing public.
Bob is being pressured by his superior to go along with improper accounting and told he is
expected to be a team player. Which of the following statements best characterizes those
expectations? - Answer: loyalty
The cognitive development approach refers to - Answer: the thought process followed in one's
moral development.
Kohlberg's model can best be described as - Answer: the various phases in one's moral
development and related levels of moral reasoning.
Which concept is thought of in terms of equal opportunity that fits a person's circumstances
and abilities? - Answer: equity
(Quizzes) Comprehensive
Questions (Frequently Tested)
with Verified Answers Graded
A+
Jane finds a material misstatement while auditing a client's accounts receivables. Her senior
tells her to ignore the misstatement so that the client does not get upset. Jane wants to be
viewed as a team player in order to advance in the firm, so Jane follows her senior's instructions
and ignores the misstatement. Which ethical theory did Jane use to make her decision? -
Answer: egoism
Ethical relativism can best be described as - Answer: a point of view that morality is relative to
the norms of one's culture.
The Public Interest Principle in the AICPA Code of Professional Conduct recognizes - Answer: the
importance of integrity in decision making.
Objectivity requires that a CPA should - Answer: maintain a mental attitude of intellectual
honesty and impartiality.
The Independence Principle in the AICPA Code applies to - Answer: all CPAs who render
attestation services.
, A CPA would violate the Due Care Principle if he/she - Answer: undertook a professional
engagement without having the requisite background, knowledge, and experience.
Under the IMA's standards of ethical practice, an accounting professional can consider
informing authorities or individuals not employed by the organization when an ethical dilemma
occurs about an accounting or financial reporting matter that remains unresolved if he/she -
Answer: believes there is a clear violation of the law.
Kelly is the controller of a small company. One day the CFO comes in and tells her to lower the
estimate of uncollectible accounts receivable. Kelly insists her numbers are correct as is. The
CFO tells her it will mean her job at the company if she doesn't go along with the smaller
estimate. The primary virtue that would enable Kelly to resist the pressure to manipulate the
number is - Answer: integrity.
The most important duty of public accounting is to the - Answer: investing public.
Bob is being pressured by his superior to go along with improper accounting and told he is
expected to be a team player. Which of the following statements best characterizes those
expectations? - Answer: loyalty
The cognitive development approach refers to - Answer: the thought process followed in one's
moral development.
Kohlberg's model can best be described as - Answer: the various phases in one's moral
development and related levels of moral reasoning.
Which concept is thought of in terms of equal opportunity that fits a person's circumstances
and abilities? - Answer: equity
