Accounting Ethics Essay

ACT560 Part 1b Module 2 Critical Thinking Ethical Questions 1. Thorne believes that virtue-based reasoning tends to increase a decision maker’s propensity to make sound ethical judgments. Discuss how this process occurs. 2. In what ways does professional skepticism help an auditor to evaluate the sufficiency and competency of evidence in the process of examining the financial statements of a client company? 3. What is the role of the ethical principles and standards embedded in the accounting profession’s codes of ethics in making professional judgments? 4. Interpretation 102-4 of the AICPA Code of Professional Conduct that was discussed in Chapter 1 provides that a CPA should not knowingly misrepresent facts or subordinate his or her judgment when performing professional services. Explain how Rest’s model of moral development influences the steps a CPA should take to avoid subordinating professional judgment.