Revised Code of Ethics in the Phils - 2010

2 holds a direct or indirect financial interest in

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Unformatted text preview: ssistance from someone with the necessary expertise. • Consulting, where appropriate, with: o o Independent experts; or o 330.4 Superiors within the employing organization; A relevant professional body. When threats cannot be eliminated or reduced to an acceptable level,professional accountants in business shall determine whether to refuse toperform the duties in question. If the professional 119 accountant in businessdetermines that refusal is appropriate, the reasons for doing so shall beclearly communicated. SECTION 340 Financial Interests 340.1 Professional accountants in business may have financial interests, or mayknow of financial interests of immediate or close family members, that, incertain circumstances, may create threats to compliance with thefundamental principles. For example, self-interest threats to objectivity orconfidentiality may be created through the existence of the motive andopportunity to manipulate price sensitive information in order to gainfinancially. Examples of circumstances that may create self-interest threatsinclude situations where the professional accountant in business or animmediate or close family member: • • Is eligible for a profit related bonus and the value of that bonus couldbe directly affected by decisions made by the professional accountantin business; • Holds, directly or indirectly, share options in the employingorganization, the value of which could be directly affected bydecisions made by the professional accountant in business; • Holds, directly or indirectly, share options in the employingorganization which are, or will soon be, eligible for conversion; or • 340.2 Holds a direct or indirect financial interest in the employingorganization and the value of that financial interest could be directlyaffected by decisions made by the professional accountant inbusiness; May qualify for share options in the employing organization orperformance related bonuses if certain targets are achieved. The significance of any threat shall be evaluated and safeguards appliedwhen...
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