Accounting: Code of Ethics

 

Why do we have code of ethics in the workplace and who does it help? It helps both businesses and people. It’s shows people that they will not be wronged if they go to the business. The business will have a more positive relationships with not just the people, but other businesses.

In Accounting, there are many code of ethics that can be found here comprised from the IFAC (International Federation of Accountants). The main one that stands out is conflict of interest. Where lets say a business is doing another businesses payroll An employee could have a family member who is getting paid by the other company and the pay gets bumped up or missing some payment because the employee wants to help the family member or hurt them because of past relationships.

The code of ethics are there to protect individuals and others from serious legal issues from happening. A lot of businesses will limit the amount of family members from working with each other. Businesses will also ensure that if in an event that a family member of a worker is having anything processed (payroll, information, etc.) that other workers with no connection will do the process.

It is very wise to have code of ethics in accounting. Everything becomes more fair for anyone on anyside of accounting.

What comes after those ellipses? (n.d.). Retrieved March 09, 2017, from http://www.businessdictionary.com/definition/conflict-of-interest.html

“Why Is It Important To Have A Code Of Conduct?”. Reference. N.p., 2017. Web. 9 Mar. 2017.

“IESBA | Revised Code Of Ethics | IFAC”. Ethicsboard.org. N.p., 2017. Web. 9 Mar. 2017.

Advertisements

Leave a Reply

Fill in your details below or click an icon to log in:

WordPress.com Logo

You are commenting using your WordPress.com account. Log Out / Change )

Twitter picture

You are commenting using your Twitter account. Log Out / Change )

Facebook photo

You are commenting using your Facebook account. Log Out / Change )

Google+ photo

You are commenting using your Google+ account. Log Out / Change )

Connecting to %s