Because of recent financial disasters in the news, the board of
directors of your company decided that they wanted to ascertain that the
organizationâs code of ethics was appropriate and in agreement with the Code of
Professional Conduct (CPC) as adopted by the American Institute of Certified
Public Accountants (AICPA). Therefore, you have been asked to provide this
assurance with a report to the CFO of your organization.
Create a report of 4â5 pages including thefollowing:
Review the 6 principles in
the AICPA’s CPC.
o State what you assess to be the primary purpose of each of the 6
The principles of the AICPAâs Code of Professional Conduct
include the following (Ethics and Independence, 2011):
that require that CPAs carry out their duties as professionals exercising
ethical and moral judgment in all aspects of their activities are present.
interest trust is a principle of obligation to behave and demonstrate
professionalism and commitment to their trade.
is to be demonstrated in all aspects of their professional
responsibilities with the ultimate purpose of maintaining and broadening
are to remain independent and avoid conflict of interest situations in all
their duties and responsibilities.
must exercise due care by members and observe standards of ethics and
professional technical nature in the continued strive for competence
improvement and quality of services.
and nature of services should be limited to those regarding auditing the
financial statements, accounting, tax, financial planning, and litigation
Ethics and independence. (2011). Retrieved from the American Institute of Certified Public
Accountants Web site:.org./InterestAreas/CenterForAuditQuality/Resources/CAQAuditLibrary”>http://aicpa.org./InterestAreas/CenterForAuditQuality/Resources/CAQAuditLibrary
Analyze the codes of
conduct of at least 3 major public U.S. companies.
Include citations for each of
these companies’ codes of conduct.
Identify connections and
relationships of the principles included.
Explain how the 6
principles relate to those identified in your analysis of the codes of conduct
of the 3 chosen companies.
Prepare a recommended list
of at least 7 essential elements that must be included in your organizationâs
code of conduct based on your analysis and assessment.