Tag: Ethical Guidance

Kevin is a management consultant, and he has made the following statements concerning methods of regulating the accountancy profession.

• Statement 1 ICAEW has direct responsibility for dealing with professional misconduct by its members
• Statement 2 ICAEW has direct responsibility for acting as adviser to the government on necessary legislative changes
• Statement 3 ICAEW has direct responsibility for confirming eligibility for the performance of reserved activities under statutory powers delegated by the government

Which of the statements that Kevin made above are true?

Select ONE answer:

1. 1 and 2 only
2. 2 and 3 only
3. 1 and 3 only
4. 1,2 and 3

Show your workings to arrive at your answer, and explain and justify your reasons:

……………………………………………………………………………………………………………………………………………………………………………………………………………………………………………………………………………………

This multiple-choice question is suitable for Accounting KS5 classes.

The answer is 3

1. Not correct
2. Not correct
3. Correct == > True False True
4. Not correct

This work is licensed under a Creative Commons Attribution 4.0 International License.

Kath is considering training as an accountant and she has noticed that there are currently several pathways to ICAEW membership, one of which is joining as a member of another CCAB body.

A colleague has made the following two statements about the CCAB to Kath:

Statement 1 The CCAB has five members.

Statement 2 The CCAB provides a forum in which matters affecting the profession can be discussed and co-ordinated, and it enables the profession to speak with a unified voice to government.

Are these statements true or false?

Select ONE answer:

1. Statement 1 – True and Statement 2 – False
2. Statement 1 – False and Statement 2 – True
3. Statement 1 – True and Statement 2 – True
4. Statement 1 – False and Statement 2 – False

Show your workings to arrive at your answer, and explain and justify your reasons:

……………………………………………………………………………………………………………………………………………………………………………………………………………………………………………………………………………………

This multiple-choice question is suitable for Accounting KS5 classes.

The answer is 3

1. Not correct
2. Not correct
3. Correct == > True and True
4. Not correct

This work is licensed under a Creative Commons Attribution 4.0 International License.

Bash and Co, a firm of chartered accountants, has recently been offered a consent order by ICAEW’s Investigation Committee.

This means that?

Select ONE answer:

1. The firm could be excluded from membership of ICAEW
2. The firm’s practising certificate could be suspended
3. There is a case to answer but it is not so serious as to warrant either exclusion from membership of ICAEW or suspension of the firm’s practising certificate
4. There would be less publicity than under an order issued by the Disciplinary Committee

Show your workings to arrive at your answer, and explain and justify your reasons:

……………………………………………………………………………………………………………………………………………………………………………………………………………………………………………………………………………………

This multiple-choice question is suitable for Accounting KS5 classes.

The answer is 3

1. Not correct
2. Not correct
3. Correct == > A consent order is offered when there is a case to answer but the case is not so serious as to involve options (1) or (2). Any publicity under a consent order would be the same as under a Disciplinary Committee order.
4. Not correct

This work is licensed under a Creative Commons Attribution 4.0 International License.

Part A of the ICAEW Code of Ethics establishes the fundamental principles of professional ethics for professional accountants and provides a conceptual framework for applying those principles.

Which ONE of the following are stated as fundamental principles in the ICAEW Code of Ethics?

Select ONE answer:

1. Independence
2. Persuasiveness
3. Confidentiality
4. Reliability

Show your workings to arrive at your answer, and explain and justify your reasons:

……………………………………………………………………………………………………………………………………………………………………………………………………………………………………………………………………………………

This multiple-choice question is suitable for Accounting KS5 classes.

The answer is 3

1. Not correct
2. Not correct
3. Correct == > The fundamental principles established by the ICAEW Code of Ethics are integrity, objectivity, professional competence and due care, confidentiality and professional behaviour.
4. Not correct

This work is licensed under a Creative Commons Attribution 4.0 International License.

Staffie plc employs directors of finance, human resources and legal services, as well as a company secretary.

The company is having operational problems which are delaying its completion of a key industrial project.

If the project misses its deadline Staffie plc may suffer heavy penalties under the terms of its sales contract with the ultimate end customer.

Part of the delay has been caused by strikes due to bad industrial relations with both Staffie’s own employees and the sub-contractors, but Staffie plc is unsure whether the penalties included in the contract will come into effect given this primary reason.

Identifying whether the penalties are likely to come into effect is the role of Staffie plc’s?

Select ONE answer:

1. Director of finance
2. Director of human resources
3. Director of legal services
4. Company secretary

Show your workings to arrive at your answer, and explain and justify your reasons:

……………………………………………………………………………………………………………………………………………………………………………………………………………………………………………………………………………………

This multiple-choice question is suitable for Accounting KS5 classes.

The answer is 3

1. Not correct
2. Not correct
3. Correct == > Enforcement of contracts is clearly a legal matter requiring the attention of the company’s director of legal services.
4. Not correct

This work is licensed under a Creative Commons Attribution 4.0 International License.