Free Case Study Solution & Analysis Accounting Principles and Ethics A health care organization is believed to be a place where there is care, organization, consistency, and support; a place where patients need to feel and see the unity and harmony within the organization. Example: Textbook in Accounting. Tacit Knowledge: is knowledge gained through experience, practice and insight. Example: To parallel park our car. What are Data, Information and Knowledge M 19 Knowledge Work: Work that involves the discovery, transformation, analysis, synthesis, and communication of data, information, and knowledge.

Free Case Study Solution & Analysis Ethics and Legal Responsibility in Accounting The profession of accounting has become spotlighted by the events in recent years including namely Enron. Ethics in Accounting - A Business Case The following business case provides students will a real-life ethical dilemma related to accounting. They are expected to use their knowledge obtained in. Free Case Study Solution & Analysis Accounting Principles and Ethics A health care organization is believed to be a place where there is care, organization, consistency, and support; a place where patients need to feel and see the unity and harmony within the organization.


Solution Manual for Accounting Ethics 1st Edition Stuart

Solution Manual for Accounting Ethics, 1st Edition, Iris Stuart, Bruce Stuart, Lars J. T. Pedersen, ISBN : 9781118542408

Accounting Ethical Dilemma Cases

Table of Contents

Preface ix

Acknowledgments xi


Chapter 1 The Technical and Ethical Responsibilities in Accounting 3

Accounting, Ethics Reform, and You 3

A Brief History of Accounting Ethics in Higher Education 7

The Authors’ Perspective 9

Accounting Education: Training for Competency and Moral Philosophy as a Resource 13

Accounting Theory and Ethics 15

Accounting Discourse: Knowledge Production and Communication 17

Accounting as Practice: The Realization of Internal Goods and Virtues 20

Solution manual for ethics accounting case study report

Chapter Review Questions 23

References 24

Chapter 2 Decision Making in Accounting 26

The General Nature of Decisions and Decision Making in Accounting 27

Making a Decision Under Conditions of Uncertainty 28

The Learning of Technical Competency in the Classroom and Mentored Work Experience 29

The Goal of Accounting: The Production of Financial Reports for Various Stakeholders 30

A Working Definition of Ethics 36

Utilitarianism 39

Deontology 40

Virtue Ethics 41

Social Contract Theory 43

A Decision Model for Accounting Ethics 45

Outline of the Book 53

Chapter Review Questions 55

References 55


Chapter 3 Defining the Problem – From an Accounting and an Ethical Point of View 59

Introduction 60

Problem-Definition: Finding and Formulating the Problem 61

The Accounting Problem and the Ethical Problem 63

Finding the Problem in Accounting Ethics 68

Formulating the Problem in Accounting Ethics 73

Summary 77

Chapter Review Questions 78

Cases 78

Chapter 4 Accounting Standards for Financial Statements: Resources for Decision Making 81

The Objective of Financial Statements 82

Using Rules for Financial Statement as a Resource to Make Accounting Decisions 83

The Conceptual Framework 84

The Financial Statements 85

Accounting Rules for Recording Transactions and Valuing Accounts 88

Quality of Information 92

Ethical Issues Associated with the Profit or Loss Statement and the Statement of Financial Position 93

Fraud and Ethics 101

Chapter Review Questions 104

Cases 104

Chapter 5 Moral Philosophy and Ethical Reasoning: Resources for Decision Making 116

Toward an Ethical Framework in Accounting Practice 117

Using Moral Philosophy Principles as a Resource to Make Accounting Decisions 119

The Philosophical Traditions, Duties, and Virtues 120

The Elements of Moral Philosophy Embedded in Accounting Practice: Utilitarianism 121

Summary 123

The Elements of Moral Philosophy Embedded in Accounting: Deontology 124

The Deontological View of Human Nature: Reason, Freedom, and Autonomy 125

Virtue Ethics and Accounting 133

Chapter Review Questions 143

Cases 144

References 149

Chapter 6 Professional Ethics as a Resource for Decision Making 151

Accounting and Professional Ethics 152

Professional Ethics as a Resource to Make Accounting Decisions 152

Examples Of Ethics In Accounting

Accounting as a Profession 153

Professional Ethics 156

Codes of Ethics as Tools for Decision Making 159

The Code of Ethics for Professional Accountants 160

Using Professional Ethics in Decision Making in Accounting 166

Summary 169

Review Questions 170

Cases 170

Chapter 7 Stakeholders in Accounting Ethics: Pressures and Conflicts of Interest 178

Accounting and Stakeholders 179

Stakeholders and their Influence on Accounting Decisions 180

Characteristics of Stakeholders 182

Classifying Stakeholders in Practice 185

Pressures on the Accountant in the Decision-Making Process 189

Conflicts of Interest 190

Summary 193

Chapter Review Questions 194

Cases 194

Cash Fraud 195

Long-Term Debt Fraud 196

Misappropriation of Assets 196

The Auditors 196

References 202

Chapter 8 Generating and Assessing Decision Alternatives: Practical Wisdom and Action 203

Introduction 204

Reflections on Our Decision Model 205


Year-End Adjusting Process, Adjusting Entries, Bad Debt Expense Estimates 206

A Violation of Accounting Standards? But Not an Ethical Problem? 213

Internal Controls and Embezzlement 215

To Bribe or Not to Bribe: That is the Question 216

Reflections on Case Analysis: Practical Wisdom and Deliberative Judgment 221

Human Motivation and Behavior: Incentives and Support for Ethical Action 224

Chapter Review Questions 225

Cases 225

References 232


Chapter 9 Auditing Ethics 235

The Role and Responsibilities of the Auditor 235

Values, Standards, and Virtues in the Professional Codes of Conduct 236

Audit Judgment 242

Appendix 260

Chapter Review Questions 263

Cases 263

References 269

Chapter 10 The Accountant in Society: Deciding for Ethical Action 270

Chapter Themes 271

The Individual Accountant: Making Ethical Decisions 271

The Social Context for the Accountant’s Decision Making: The Ethical Domain 272

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The Moral Structure of Accounting: Economic Events and Accounting Discourse 274

The Perception that Accounting is Only a Technical Craft, But Not an Ethical Practice 276

Professionalism in Social Context 277

The Accountant and the Profession in the Market and Society 279

The Mixed Good of Accounting Discourse: Market Values and Accounting Ethics 283

Market Values and Accounting Values: The Social Domain of Accounting Ethics 284

Market Values and the Function of Accounting 285

Social Contract Theory 288

Corporate Social Responsibility 291

Chapter Review Questions 293

References 294

Index 297


The following teaching cases were developed by members of the Centre for Accounting Ethics. These cases are available to and may be reproduced for use in Canadian classrooms. Funding for these cases were provided by the Alberta Accounting and Auditing Development Fund.

Level 1 cases

Montcalm University Academe

Professor Morely Lemon, Associate Professor Emeritus
School of Accounting and Finance

Montcalm University has approximately 20,000 students and is located in a medium-sized Canadian city (population 250,000). The university has faculties of Arts, Engineering, and Science, as well as a School of Business. The School of Business has 3,000 undergraduate students, 200 Master of Business Administration (MBA) students and approximately 25 doctoral students in various programs. The students at the university are mostly full-time students; there are very few evening classes. The students’ backgrounds reflect the Canadian mosaic. Most of the students are Canadian born or have Canadian landed immigrant status. Montcalm University has a small number of international students.

The cases that follow concern students who are accounting majors in the School of Business as well as faculty in the School of Business who teach Accounting. However, the cases could apply to any of the other departments within the School of Business or, in fact, any department within the university.

The author gratefully acknowledges the assistance of Bill Brown, FCA, Gaviller & Co.; Ross Hamilton, CA, Lindquist MacDonald Avey Baskerville Inc.; Dianne McMullen, CA, BDO Dunwoody: Sean Porter, CA, Arthur Andersen; David Selley, FCA, Ernst & Young in the development of these cases.

Level 2 cases

Public Practice

Professor Morely Lemon, Associate Professor Emeritus
School of Accounting and Finance

Management Accounting

Professor Grant Russell, Associate Professor, Management Accounting and Information Systems
School of Accounting and Finance

Not-for-Profit Sector

Professor David Carter, Associate Professor Emeritus
School of Accounting and Finance

Level 3 cases

Management Fraud, Corporate Governance, and Professional Reposibilities

Professor J. Efrim Boritz, Head of Assurance/IT Areas
Director UWCISA

Accounting Ethics Case Study

Professor Linda Robinson, Lecturer, Auditing and Assurance
School of Accounting and Finance

Ethics Case Study Examples

Teaching notes are available for the Management Fraud, Corporate Governance, and Professional Responsibilities cases to instructors apon request. Contact Jenny Rothwell for more information.