Faith Essay Assignment
Robert R Edwards
BMAL530: Accounting for Non-financial Managers (B02)
Instructor: John Halstead
Liberty University
October 11, 2024.
Question: How are biblical concepts related to the fields of accounting and finance?
Answer:
The Bible, a source of inspiration and guidance, emphasizes truthfulness and ethical conduct,
crucial aspects of financial reporting and professional conduct in accounting.4 Proverbs 13:11
states, 'Dishonest money dwindles, but he who gathers money little by little makes it grow.' This
profound wisdom should guide business professionals, keeping them on the path of integrity in
accounting and finance. However, it's essential to acknowledge that these principles, when
applied, might lead to moral dilemmas. For instance, one might be tempted to justify selfish gain
with biblical values or criticize financially struggling people, which goes against the spirit of
compassion and empathy that the Bible4teaches. These potential dilemmas, such as the tension
between profit-making and compassion, should be recognized and addressed with the same
diligence as any financial challenge.
Is it wrong to be Wealthy?
The biblical principle of giving generously is a fundamental precept for managing wealth and
finances. The prophet Malachi encourages God's people to put Him to the test regarding tithing
and assures those who do so will be rewarded. This principle is still relevant in today's finances,
and financial advisors emphasize how crucial it is to give clients sound advice. The subject of
debt and its adverseness4is another biblical guideline for managing wealth and finances. Living
within one's means and avoiding debt are crucial financial advice that financial consultants
give4their customers. Jesus emphasizes the necessity of making a strategy and setting a budget
before beginning any financial endeavor, which is still valid in today's financial world. Financial
consultants advise clients to make plans and budgets for their financial objectives. (Nyamweya,
2021) However, it's crucial to remember that financial planning should not be devoid of
empathy. If this approach results in a lack of empathy for people who might not have the means
to plan and budget efficiently, it may pose ethical questions. The Bible encourages people to
view their finances as a gift from God and to manage them with integrity and prudence, aligning
with ethical practices in accounting and finance. This stresses the importance of empathy in
financial planning, which not only ensures ethical conduct but also makes the audience feel
compassionate and considerate.
Safeguarding and responsibility.
Financial accounting is recording financial transactions, summarizing, interpreting, and
communicating the results to the interested parties. Accounting information is better understood
if uniformly prepared with the following set of accounting concepts and conventions.
(unacademy, 2022) The scriptures show the need to institute effective internal control measures
and safeguard financial and accounting records. 2nd Kings Verse 124describes temple
constructions and4gives guidelines on managing the project's funds. (Nyamweya, 2021)
Therefore, this offers a glimpse that the Bible is also concerned with appropriately managing
funds for a specific goal or project.
Jerimiah,436:27-32 states, 'You shall take again a roll whereby you are to rewrite all the former
words which I had spoken in the first scroll' (Jer. 36:27-32). Jeremiah and his assistants adhered
to this instruction, and the records are now considered in Jeremiah's book. This clearly shows
how God was so concerned about record keeping. It should also be noted that the development of
scriptures, both the Old and New Testaments, results from record keeping. (Nyamweya, 2021)
Jesus emphasizes the necessity of making a strategy and setting a budget before beginning any
financial endeavor, which is still valid in today's economic world. Financial consultants advise
clients to make plans and budgets for their financial objectives. However, if this approach results
in a lack of empathy for people who might not have the means to plan and budget efficiently, it
may pose ethical questions. (Nyamweya, 2021) While the financial world often prioritizes short-
term gains, a biblical perspective might encourage a more long-term view, prioritizing
sustainable practices and investments that benefit future generations. Accounting standards were
created to provide a framework for financial reporting. Those standards can be applied by
biblical principles, ensuring that financial information is accurate and reflects ethical
considerations. This emphasis on ethical considerations in financial reporting not only ensures
accuracy but also demonstrates a commitment to responsible management, making the audience
feel responsible and committed.
Conclusions:
The importance of accounts and finance disciplines must be addressed. Accurate and transparent
financial reporting can be seen as 'witnessing' for Christian businesses, demonstrating their
commitment to ethical conduct and responsible management to stakeholders. This commitment
to ethical conduct is not just a professional duty but a moral responsibility. Although the Bible
strongly condemns greed and covetousness, which are relevant to financial ethics, excessive
pursuit of personal gain at the expense of others can lead to unethical practices in accounting and
finance. By integrating biblical concepts like stewardship, honesty, and diligence into their
practices, accountants and financial professionals can elevate their work beyond mere technical
proficiency. This alignment with a higher purpose of responsible resource management and
ethical conduct can contribute to a more just and sustainable economic landscape. To use these
principles that align with God's purpose for our lives, we must be mindful of the ethical
dilemmas that may occur. As faith-based ethical leaders, we should be able to show others how
they can manage their resources in a way that pleases God and blesses others by following
biblical principles ethically and compassionately.
Reference:
Booth, R. (2023, March). A Theology of Wealth from the Book of James.
chrome-extension://efaidnbmnnnibpcajpcglclefindmkaj/https://www.sebts.edu/wp-content/
uploads/2023/03/STR-Issue-14.1.2-Booth.pdf
Nyamweya, S. (2021a, September 18). How faith is applied in the field of accounting and
Finance. How Faith is Applied in the Field of Accounting and Finance.
https://discover.hubpages.com/religion-philosophy/Application-of-Faith-in-Accounting-and-
Finance
Basic concepts and conventions of financial accounting. Unacademy. (2022, July 17).
https://unacademy.com/content/ssc/study-material/financial-accounting/basic-concepts-and-
conventions-of-financial-accounting/#:~:text=Prudence%20concept%20or%20conservatism
%20concept,an%20item%20or%20an%20event.
