CIMA BA4 · Chapter 1 · Question 5 of 10
Which of the following is a feature of a principles-based approach to professional ethics?
Test yourself: pick an answer
Reveal answer & explanation
Correct answer: D) Members must identify, evaluate and address threats to the fundamental principles in each situation they face
Explanation
Under a principles-based (conceptual framework) approach, members apply the fundamental principles to their own circumstances by identifying threats, evaluating them and addressing them with safeguards. An exhaustive list of prohibited actions and fixed procedures describe a rules-based approach. Ethical requirements go beyond the criminal law.
More Business ethics and the role of the professional accountant MCQs
- Q7An accountant is described as having 'independence in appearance'. What does this mean?
- Q8Which of the following is the best example of an organisation acting with social responsibility rather than merely complying with the law?
- Q9A finance manager discovers that a new cost-cutting plan is fully legal but will mislead customers about the durability of a product. The…
- Q10Which of the following best explains why professional bodies such as CIMA require members to undertake continuing professional development…
- Q1Which of the following best describes business ethics?