Appiah 1

Student’s Name

Professor’s Name

Course Number

Date

Financial Prompts

The senior accountants, concern and subsequent decision, raises ethical challenges which

must be addressed. In their book “Ethics for A-Level”, Mark Dimmock and Andrew Fisher,

published online at https://www.jstor.org/stable/j.ctt1wc7r6j.12, state that ethics arises because

relationships exist. If there is a relationship, then there is a legitimate question of how we ought

to behave in that relationship. Harmony, the senior accountant, has a relationship with her junior

accountants and the bank.

ETHICAL CONSIDERATIONS

Harmony occupying a position of trust is required to comply with these IESAB’s five

fundamental principles of ethics for professional accountants;

(a) Integrity – to be straightforward and honest in all professional and business relationships. (b)

Objectivity – not to compromise professional or business judgments because of bias, conflict of

interest or undue influence of others. (c) Professional Competence and Due Care – to (i) Attain

and maintain professional knowledge and skill at the level required to ensure that a client or

employing organisation receives competent professional service based on current technical and

professional standards and relevant legislation; and (ii) Act diligently and by applicable technical

and professional standards. (d) Confidentiality – to respect the confidentiality of information

acquired due to professional and business relationships.

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(e) Professional Behavior – to comply with relevant laws and regulations and avoid any conduct

that the professional accountant knows or should know might discredit the profession.

As stated by the IESAB, the critical ethical consideration is that people rely on accountants and

their expertise. The bank is depending on her to work with honesty and integrity.

Her decision is unethical.

CONSEQUENCES

Her decision will result in the bank publishing misleading financial reports, which can

lead to legal action against it. The bank will pay taxes and bonuses on overstated profits. She can

lose her job and her license as a professional accountant. And her decision will tarnish her

integrity and the image of the accounting profession.

Her decision exposes the bank to self-interest, advocacy and familiarity threats.

SUGGESTION

I propose that she reports the actual status of the branches. In addition, she should review

the branches to ascertain whether their sales targets and operating capacity match.

She must comply with the ethical principles and ensure the junior accountants comply.

Works Cited

Mark Dimmock and Andrew Fisher “Ethics for A-Level” for Creative Commons and published

online at https://www.jstor.org/stable/j.ctt1wc7r6j.12 IESAB Handbook 2022 section 110