Ethical Obligations and Decision-Making in Accounting 2nd Edition by Steven Mintz, Roselyn Morris

Exercise 16

What is the role of the ethical principles and standards embedded in the accounting profession’s codes of ethics in making professional judgments?

Step 1 of 2

Ethics:

Ethics is the set of some moral values and principal that differentiate right and wrong morally.

Professional judgment:

Professional judgment refers to the use of professional knowledge and experience by the accountant and other departments involved in the process of preparation of the financial statement to make it more useful, understandable, and comparable.