Ethical Accounting

UD SBA / Walk The Talk Suggestions To Assist In Considering A Case Or Ethical Situation

“Resolved”

• Review the details & background of the case • Identify the Ethical problem, issue or conflict case presents • Generate possible Solutions • State probable Outcomes of each main solution • Describe Likely impact of each solution on people’s lives • Explain Values upheld & violated by each main solution • Evaluate the values, outcomes, likely impact of solutions • Decide which solution is best & justify your decision • Defend the decision against any weaknesses

Useful Ethical Principles to Consider

Rules: • Do not deceive • Do not harm others • Keep promises and act faithfully • Permit and encourage others to act rationally and freely • Keep confidential information in proper circles • Do not violate the law

Respect Rights to:

• Knowledge. Hidden defects in product I am considering purchasing • Privacy / Due Process / Safety • Free Expression of Opinions / Complaints

Consider Types of Justice / Fairness:

• Procedural: insure a fair chance at due process • Compensatory: fair compensation for harm done • Retributive: punishment received as deserved • Distributive: fair distribution of benefits & burdens in society

Four Basic Elements of a Capitalist System: • Profit: right to earn & keep earnings from business dealings over & beyond the

cost of doing business • Private Property: right to own property & dispose of it as the owner sees fit • Competition: striving after the same goal, profit, or market by more than one

individual or business • Fairness or Justice: the principle that keeps the competition legal, ethical, open ,

fair & honest. Religious & / or Humanitarian Ideals:

• The Golden Rule • Beneficence – desire / commitment to make the world better