Revised Code of Ethics in the Phils - 2010

Examples of such safeguards include obtaining advice

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Unformatted text preview: nd ethical objectives established by the employer and the rules and procedures drawnup in support of those objectives. Nevertheless, where a relationship orcircumstance creates a threat to compliance with the fundamental principles,a professional accountant in business shall apply the conceptual frameworkapproach described in Section 100 to determine a response to the threat. 310.2 As a consequence of responsibilities to an employing organization, aprofessional accountant in business may be under pressure to act or behavein ways that could create threats to compliance with the fundamentalprinciples. Such pressure may be explicit or implicit; it may come from asupervisor, manager, director or another individual within the employingorganization. A professional accountant in business may face pressure to: • Act contrary to law or regulation. • Act contrary to technical or professional standards. • Facilitate unethical or illegal earnings management strategies. • Lie to others, or otherwise intentionally mislead (includingmisleading by remaining silent) others, in particular: o o • The auditors of the employing organization; or Regulators. Issue, or otherwise be associated with, a financial or non-financialreport that materially misrepresents the facts, including statements inconnection with, for example: o o Tax compliance; o Legal compliance; or o 310.3 The financial statements; Reports required by securities regulators. The significance of any threats arising from such pressures, such asintimidation threats, shall be evaluated and safeguards applied whennecessary to eliminate them or reduce them to an acceptable level.Examples of such safeguards include: • Obtaining advice, where appropriate, from within the employingorganization, an independent professional advisor or a relevantprofessional body. 117 • Using a formal dispute resolution process within the employingorganization. • Seeking legal advice. SECTION 320 Preparation and Reporting of Information 320.1 Professional accountants in business are often involved in the preparationand reporting of information that may either be made public or used byothers inside or outside th...
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This document was uploaded on 04/03/2014.

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