How to act ethically when working with clients, suppliers, colleagues and stakeholders: principles of ethical behaviour, codes of practice of CCAB and CIMA, regulatory framework including Companies Act and FRC
Accountants must follow ethical principles and formal rules when dealing with everyone they work with. Professional bodies like CCAB and CIMA, and laws like the Companies Act, set out exactly what those rules are.
Real World
When Tesco overstated profits by £263 million in 2014, its finance directors breached objectivity and integrity principles under the CCAB code, leading to FRC investigations and criminal charges.
Exam Focus
For 'explain' questions, name the specific ethical principle, state what it requires, then apply it to the scenario given.
Essay Framework
Use PEEL to structure every paragraph. Tap each step for guidance and an example.
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