AF437: Ethics and Governance

Week 2: Ethical Theories and Its Applica�on to Accoun�ng

Workshop Ques�ons
Discussion Ques�ons

1. How does the composi�on and structure of a board influence the effec�veness of corporate
governance in an organiza�on? Provide examples.
2. Why is stakeholder engagement considered a crucial element of good corporate
governance? Discuss its implica�ons for a company's reputa�on and financial performance.
3. How do ethical considera�ons intersect with corporate governance prac�ces? Provide an
example of a situa�on where ethical decision-making played a pivotal role in corporate
governance.
4. Discuss the role of corporate governance in risk management. How can a robust governance
structure help mi�gate poten�al risks?
5. Why are transparency and accountability considered founda�onal principles of corporate
governance? How do they impact investor trust and confidence?
6. Discuss the dis�nct roles and responsibili�es of the board and execu�ve management in
corporate governance. How do their func�ons complement each other, and where might
poten�al conflicts arise? Provide examples to illustrate your points.
7. Referring to the ar�cle on the unexpected benefits of the Sarbanes-Oxley Act, discuss the
primary objec�ves of the Act and its implica�ons for corporate governance. How has the Act
influenced transparency, accountability, and the overall trust in financial repor�ng? Provide
examples or scenarios to support your answer.
8. Discuss the dis�nct roles and responsibili�es of internal and external audits in the framework
of corporate governance. How do these two types of audits contribute to the integrity of
financial repor�ng and overall organiza�onal accountability? In what ways do their objec�ves
and methodologies differ, and how do they complement each other in ensuring robust
corporate governance?

Case Studies

1. Based on the ar�cles on Fortescue, iden�fy and discuss the key corporate governance issues
presented in the case. How could these issues have been addressed or mi�gated?
2. Referring to the West (2009) paper, which corporate governance model is most applicable to
countries in the Pacific? Jus�fy your answer by discussing the cultural, economic, and
regulatory factors that influence corporate governance prac�ces in the region.