AICPA Ethics Exam Questions with 100% Correct Answers

AICPA Ethics Exam Questions with 100%
Correct Answers
Ethical Decision Making Model

helps you actively work through gray area and choose the best possible solution to an ethical

dilema



Step 1: Recognize the ethical issue

Step 2: Gather the critical facts

Step 3: Identify the stakeholders

Step 4: Consider your alternatives

Step 5: Consider the effect on stakeholders

Step 6: Consider your comfort level

Step 7: Consider rules, regulations and laws

Step 8: Make a decision

Step 9: Document your efforts

Step 10: Evaluate the outcome

Step 1

Recognize the ethical issue

Step 2

Gather the critical facts



-you may not have all the facts, but you need the key ones (material)

Step 3

,Identify the stakeholders



-who is affected by your decisions/actions

-consider as many as possible

Step 4

Consider your alternatives



-approaches you could take to address this matter and resolve the ethical conflict

Step 5

Consider the effect on stakeholders



-effect of each alternative

Step 6

Consider your comfort level



-how comfortable are you with each option

-how would you feel if you have to discuss your decision in public

Step 7

Consider rules, regulations, and laws



-rules set by AICPA, state accountancy board, state CPA society

Step 8

, Make a decision



-take the time you need

-discuss with colleague, gain perspectives, counsel, don't be hasty

Step 9

Document your efforts



-your understanding of the facts

-who you consulted with and their professional affiliations

-your decision

Step 10

Evaluate the outcome



-would you have done anything differently

Professional & Regulatory Bodies

set ethics standards and rules for members of the accounting profession



State CPA licensing boards

AICPA

SEC

PCABO

IFAC

IRS

GAO