Auditor ethics assignment

The solution of ethical dilemmas The ethical dilemma can be defined as a situation in which a perfectionist has to take a decision concerning a certain attitude. The auditor is the perfectionist confronting along its career with a series of ethical dilemmas, having to provide an objective and independent opinion regarding the financial situations of an individual.

The solution possibilities of ethical problems are quite ample, but the auditor has to pay attention when choosing from these possibilities, because the provided services have an impact on different users, client represents, lenders, governments, financial and affairs communities and even on the economic welfare of the community that he Joins. The threshold between a moral behavior and an immoral Justification conduct can be easily crossed.

The code has a significant impact on the practitioners, offering fundamental principles regarding the auditing practice and specific and correctly applicable conduct rules. The auditor’s activity must come up to the highest professionalism standards in order to guarantee confidence to the users regarding its services quality. To maintain this confidence, the auditor has the obligation first of all to have defined and to respect the ethical and professional conduct code.

Romania has adopted the Code through The Body of Expert Accountants and Licensed Accountants, entitled The National Code of Ethics for professional accountants, and it is compulsory to be known and to be respected by all perfectionist accountant, no matter how they carry on their activity. The purpose of the Code supposes accomplishing the aim concerning professionalism, credibility, quality of services and the confidence conveyed by its users to reach the highest level f performance and to come up to the public interest needs.

The interpretation of conduct rules meets the practitioners questions regarding a specific rule. The interpretations are not officially applied, but their violation put the vacationer in the impossible situation to Justify his various conduct in comparison with the conduct rules. The role of the ethical verdicts is also to give explanations regarding some specific real circumstances which are published in the complete version of the Code.

Besides the Code of Ethics for Professional Accountants issued by the AFC, there are also other ways by means of which profession and even society can encourage the auditors and the experts in the field to behave properly to carry out high quality audit and other professional services. Other similar ways are the exams for the license of expert accountant, licensed accountant, quality control, collegial evaluation, legal responsibility, standards defined by stock exchange values and operations committee, classification of accounting expertise companies and others.

Conclusions The current economic environment in which we carry out our activity is very different from the past economic environment, accountant perfectionists find themselves very day in a competitive climate imposing them to obey the new rules and to adapt their activity to the requests of the market. The actual financial crisis put into evidence the necessity of solid, unitary regulations, having a real basis concerning ethics and morality in financial reference.

The demand for audit and certification services depends especially on the confidence of the users in the respective profession. Thus, the management of professional activities in accordance with a Professional conduct code, known, respected and understood by the practitioners in he given field is imperatively necessary. The aspects regarding the ethics code are and have to be permanently an effort to improve competition and quality of services. The behavior rules recommend the auditors to remain independent and carry on faithfully their activities.