unethical accounting practices not only cause instability in the market

7/26/2019 Unethical Accounting Practices Not Only Cause Instability in the Market

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Unethical accounting practices not only cause instability in the market, but they also cause the

investor's safety within their investments go down. Investors and stakeholders have a right to have

their investments and interests kept secure. From a legal standpoint, the use of controversial

accounting practices becomes a breach of contract between the office holders and the stakeholders.

The office holders have a vested obligation to ensure that they perform their duties within the highestpossible standards and not only protect the shareholders' interests, but also maximize their value

where possible. The altering of the financial books constitutes fraudulent financial reporting, which is

an intentional misstatement or omission of amounts or a disclosure within the financial statements to

deceive financial statement ...

The role of accounting in business is to helpinterested parties (internal and external) to

make business decisions.LEARNIN !"#E$TI%E& E'IT Explain how the accounting process aids in the making of business decisions

E* +!INT,& E'IT

o -inancial accountinggenerates some of the key documents,including protand loss accountshowing the method of business traded for aspecific period and the balance sheetwhich provides a statement showing mode oftrade in business for a specific period.

o Without these financial documents it would be impossible to run thebusiness or to make decisions regarding the business.

o The accounting process consists of measuring and summarizing businessactivities, interpreting financial information, and communicating the resultstomanagementand other decision makers.

o Management accounting also motivates managers and other employeestowards achieving organizational goals. well motivated staff performs better and ismore productive. !rganizations are able to achieve their goals if employees are wellmotivated.

TER/& E'IT

nancial accounting"inancial accounting is the field of accountancy concerned with the preparation offinancial statements for decision makers, such as stockholders, suppliers, banks,employees, government agencies, owners, and other stakeholders.
https://www.boundless.com/accounting/textbooks/boundless-accounting-textbook/introduction-to-accounting-1/overview-of-key-elements-of-the-business-19/the-role-of-accounting-in-the-business-119-7274/issues/new/https://www.boundless.com/accounting/textbooks/boundless-accounting-textbook/introduction-to-accounting-1/overview-of-key-elements-of-the-business-19/the-role-of-accounting-in-the-business-119-7274/issues/new/https://www.boundless.com/accounting/definition/financial-accountinghttps://www.boundless.com/accounting/definition/financial-accountinghttps://www.boundless.com/accounting/definition/accountinghttps://www.boundless.com/accounting/definition/profithttps://www.boundless.com/accounting/definition/accounthttps://www.boundless.com/accounting/definition/balance-sheethttps://www.boundless.com/accounting/definition/managementhttps://www.boundless.com/accounting/definition/managementhttps://www.boundless.com/accounting/definition/makerhttps://www.boundless.com/accounting/textbooks/boundless-accounting-textbook/introduction-to-accounting-1/overview-of-key-elements-of-the-business-19/the-role-of-accounting-in-the-business-119-7274/issues/new/https://www.boundless.com/definition/financial-accounting/https://www.boundless.com/accounting/textbooks/boundless-accounting-textbook/introduction-to-accounting-1/overview-of-key-elements-of-the-business-19/the-role-of-accounting-in-the-business-119-7274/issues/new/https://www.boundless.com/accounting/definition/financial-accountinghttps://www.boundless.com/accounting/definition/accountinghttps://www.boundless.com/accounting/definition/profithttps://www.boundless.com/accounting/definition/accounthttps://www.boundless.com/accounting/definition/balance-sheethttps://www.boundless.com/accounting/definition/managementhttps://www.boundless.com/accounting/definition/makerhttps://www.boundless.com/accounting/textbooks/boundless-accounting-textbook/introduction-to-accounting-1/overview-of-key-elements-of-the-business-19/the-role-of-accounting-in-the-business-119-7274/issues/new/https://www.boundless.com/definition/financial-accounting/https://www.boundless.com/accounting/textbooks/boundless-accounting-textbook/introduction-to-accounting-1/overview-of-key-elements-of-the-business-19/the-role-of-accounting-in-the-business-119-7274/issues/new/


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-2LL TE3T& E'IT

The role of accounting in business is to help interested parties, both internal

and external, to make business decisions. The accounting process consists of

measuring and summarizing business activities, interpreting financial

information, and communicating the results to management and other

decision makers.

"inancial accounting generates some of the key company documents,

including profit and loss statement or #$%s. #$%s show the financial details of

a business over a specific period. "inancial accounting also produces the

balance sheet which provides a snapshot of a business&s assets,debts,

and e4uit5at a specific moment in time.. "inancial accounting also helps the

managers in the business to manage more efficiently by providing them views

of financial information which may include monthly management reports

presenting costs and profits against budgets, sales, or other key metrics.

'eporting can be customized for the specific needs of the business.

Without these financial documents it would be very difficult to run the

business or to make decisions regarding the business .
https://www.boundless.com/accounting/textbooks/boundless-accounting-textbook/introduction-to-accounting-1/overview-of-key-elements-of-the-business-19/the-role-of-accounting-in-the-business-119-7274/https://www.boundless.com/accounting/textbooks/boundless-accounting-textbook/introduction-to-accounting-1/overview-of-key-elements-of-the-business-19/the-role-of-accounting-in-the-business-119-7274/https://www.boundless.com/accounting/textbooks/boundless-accounting-textbook/introduction-to-accounting-1/overview-of-key-elements-of-the-business-19/the-role-of-accounting-in-the-business-119-7274/https://www.boundless.com/accounting/textbooks/boundless-accounting-textbook/introduction-to-accounting-1/overview-of-key-elements-of-the-business-19/the-role-of-accounting-in-the-business-119-7274/issues/new/https://www.boundless.com/accounting/definition/assetshttps://www.boundless.com/accounting/definition/debthttps://www.boundless.com/accounting/definition/debthttps://www.boundless.com/accounting/definition/equityhttps://www.boundless.com/accounting/textbooks/boundless-accounting-textbook/introduction-to-accounting-1/overview-of-key-elements-of-the-business-19/the-role-of-accounting-in-the-business-119-7274/https://www.boundless.com/accounting/textbooks/boundless-accounting-textbook/introduction-to-accounting-1/overview-of-key-elements-of-the-business-19/the-role-of-accounting-in-the-business-119-7274/https://www.boundless.com/accounting/textbooks/boundless-accounting-textbook/introduction-to-accounting-1/overview-of-key-elements-of-the-business-19/the-role-of-accounting-in-the-business-119-7274/issues/new/https://www.boundless.com/accounting/definition/assetshttps://www.boundless.com/accounting/definition/debthttps://www.boundless.com/accounting/definition/equity


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Role of accounting

Accounting helps direct and control operating activities.

Business Decisions

!utside parties may decided to invest in a company based on its economic

performance as shown on the financial statements, but there are other ways to

use the financials statements to make business decisions. (y carefully

reviewing the financial statements companies can make best use of their

assets.

)ompanies can use the statement of cash 6o7sto make sure they are

collecting all the cash they are due. )ompanies can also choose to delay ma*or
https://www.boundless.com/accounting/textbooks/boundless-accounting-textbook/introduction-to-accounting-1/overview-of-key-elements-of-the-business-19/the-role-of-accounting-in-the-business-119-7274/images/role-of-accounting/https://www.boundless.com/accounting/textbooks/boundless-accounting-textbook/introduction-to-accounting-1/overview-of-key-elements-of-the-business-19/the-role-of-accounting-in-the-business-119-7274/images/role-of-accounting/https://www.boundless.com/accounting/definition/cash-flowshttps://www.boundless.com/accounting/textbooks/boundless-accounting-textbook/introduction-to-accounting-1/overview-of-key-elements-of-the-business-19/the-role-of-accounting-in-the-business-119-7274/images/role-of-accounting/https://www.boundless.com/accounting/textbooks/boundless-accounting-textbook/introduction-to-accounting-1/overview-of-key-elements-of-the-business-19/the-role-of-accounting-in-the-business-119-7274/images/role-of-accounting/https://www.boundless.com/accounting/definition/cash-flowshttps://www.boundless.com/accounting/definition/cash-flows


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purchases or the retirement of e+uipment based on the affect that transaction

would have on the financials statements.

Source: Boundless. The Role of Accounting in the Business.Boundless Accounting. Boundless, 21 Jul.

2015. Retrieved 28 Feb. 2016 fromhttps://www.boundless.com/accounting/textbooks/boundless-

accounting-textbook/introduction-to-accounting-1/overview-of-key-elements-of-the-business-19/the-role-

of-accounting-in-the-business-119-7274/

8hat Role 'oes an Accountant +la5 in "usiness!perations9b5 ,usan ,. 'a0is: 'emand /edia

Accountants pla5 a 0ariet5 of roles 7ithin business en0ironmrnent operations.

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An accountant performs nancial functions related to the collection: accurac5: recording:

anal5sis and presentation of a business: organi@ation or compan5s nancial operations. The

accountant usuall5 has a 0ariet5 of administrati0e roles 7ithin a compan5s operations. In a

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entr5 and report generation. /iddle to larger si@ed companies ma5 utili@e an accountant as

an ad0iser and nancial interpreter: 7ho ma5 present the compan5s nancial data to

people 7ithin and outside of the business. enerall5: the accountant can also deal 7ith third

parties: such as 0endors: customers and nancial institutions.

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-inancial 'ata /anagement

The accounting structure of a compan5 is an essential component to business operations.

!ne of the primar5 roles of an accountant usuall5 in0ol0es the collection and maintenance of

nancial data: as it relates to a compan5 or rm. The accountant ensures that nancialrecords are maintained in compliance 7ith la7ful and accepted procedures and policies on

the corporate le0el. The nancial information for an5 organi@ation should be kept in a

pristine s5stem because it is a ke5 component used in operating and managing an5

business. /anaging the nancial data of an organi@ation can also include more sophisticated

duties: such as de0eloping: implementing and maintaining nancial data bases: as 7ell as

establishing and monitoring control procedures.

Anal5sis And Ad0ice

As anal5sts: accountants ma5 perform certain t5pes of anal5sis using nancial data that is

used to assist in making business decisions. -rom deciding 7hich kinds of supplies to order:

pa5ment of bills to pa5roll: the accountant handles man5 intricate nancial details on a dail5

basis. Ad0ising on business operations can include issues: such as re0enue and expenditure

trends: nancial commitments and future re0enue expectations. The accountant also

anal5@es nancial data to resol0e certain discrepancies and irregularities that ma5 arise.

Recommendations ma5 also in0ol0e de0eloping eFcient resources and procedures: 7hile

pro0iding strategic recommendations for specic nancial problems or situations.

Related Reading:An !perational Audit of the E;ecti0eness of !perations

-inancial Report +reparation

Accountants t5picall5 prepare nancial statements that ma5 include monthl5 and annual

accounts based upon the nancial information that is compiled and anal5@ed. The

preparation of nancial management reports can include accurate 4uarterl5 and 5earBend

closing documents. Reports compiled ma5 be used in connection 7ith the continual support

and management of budgetar5 forecast acti0ities. The nancial reports ma5 be used b5 a

nancial director or oFcer for the de0elopment: implementation and operation of a
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compan5s nancial soft7are and s5stems: such as ?5perion: Excel and $!'A -inancial

/anagement.

$ompliance

An accountant ma5 also be responsible for ensuring that all nancial reporting deadlines aremet: internall5 and externall5. -or example: 4uarterl5: semiBannual and annual reports all

ha0e specic deadlines: as 7ell as some tax implications. /onitoring and supporting

taxation issues and lings can also be a responsibilit5 of an accountant. The accountant also

usuall5 coordinates the audit process b5 assisting 7ith nancial data preparation.

External "usines AFliations

!ften: accountants must 7ork 7ith nancial professionals from the four maGor elds of the

industr5H public: management: internal auditing and go0ernment accounting. Accountants

ma5 pro0ide data to a public accountant: 7ho acts as a consultant: auditor and tax ser0ice

professional. $orporations: nonprots: organi@ations and go0ernments use management

accountants to record and anal5@e nancial information of the businesses in 7hich the5 are

emplo5ed. The5 usuall5 ad0ise compan5 executi0es: creditors: stockholders: regulator5

agencies and tax personnel. Accountants ma5 also 7ork 7ith go0ernment oFcials 7ho are

examining and maintaining the nancial records of the pri0ate business for 7hom an

accountant is emplo5ed: in connection 7ith taxation and go0ernment regulations.

Ethical Issues -acing the Accounting +rofessionb5 #onathan Lister : 'emand /edia

An accountant 7orking in the public or pri0ate sector must remain impartial and lo5al toethical guidelines 7hen re0ie7ing a compan5 or indi0iduals nancial records for reporting

purposes. An accountant fre4uentl5 encounters ethical issues regardless of the industr5 and

must remain continuall5 0igilant to reduce the chances of outside forces manipulating

nancial records: 7hich could lead to both ethical and criminal 0iolations.

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Ethics

Taxation is theft. 8ar is murder.

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+ressure -rom /anagement

The burden for public companies to succeed at high le0els ma5 place undue stress and

pressure on accountants creating balance sheets and nancial statements. The ethical issue

for these accountants becomes maintaining true reporting of compan5 assets: liabilities and

prots 7ithout gi0ing in to the pressure placed on them b5 management or corporate
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7/12

oFcers. 2nethical accountants could easil5 alter compan5 nancial records and maneu0er

numbers to paint false pictures of compan5 successes. This ma5 lead to shortBterm

prosperit5: but altered nancial records 7ill ultimatel5 spell the do7nfall of companies 7hen

the ,ecurities and Exchange $ommission disco0ers the fraud.

Accountant as 8histleblo7er

An accountant ma5 face the ethical dilemma of reporting disco0ered accounting 0iolations to

the -inancial Accounting ,tandards "oard. 8hile it is an ethical accountants dut5 to report

such 0iolations: the dilemma arises in the ramications of the reporting. o0ernment re0ie7

of compan5 nancial records and the bad press caused b5 an accounting scandal could

cause the compan5s rapid decline and ma5 lead to the la5o; of thousands of emplo5ees.

Executi0es and other corporate oFcers could also face criminal prosecution: leading to

hea05 nes and prison time.

Related Reading:o0ernment uidelines for Ethical +ractices in +ri0ate $ompanies

The E;ects of reed

reed in the business and nance 7orld leads to sha0ing ethical boundaries and stepping

around safeguards in the name of making more mone5. An accountant can ne0er let the

desire to earn a better li0ing and ac4uire more possessions get in the 7a5 of ensuring that

she follo7s ethical guidelines for nancial reporting. An accountant 7ho keeps her e5es on

her o7n bank account more than on her compan5s balance sheet becomes a liabilit5 to the

compan5 and ma5 cause real accounting 0iolations: resulting in sanctions from the ,E$.

!mission of -inancial Records

A corporate oFcer or other executi0e ma5 ask an accountant to omit or lea0e out certain

nancial gures from a balance sheet that ma5 paint the business in a bad light to the public

and in0estors. !mission ma5 not seem like a signicant breach of accounting ethics to an

accountant because it does not in0ol0e direct manipulation of numbers or records. This is

precisel5 7h5 an accountant must remain ethicall5 0igilant to a0oid falling into such a trap.

Ethical 'ilemmas in Accountingb5 endra #ames: 'emand /edia
http://smallbusiness.chron.com/government-guidelines-ethical-practices-private-companies-73440.htmlhttp://smallbusiness.chron.com/government-guidelines-ethical-practices-private-companies-73440.html


8/12

'eciding ho7 to handle ethical dilemmas are an important part of the accounting profession.

Related Articles

Examples of $ompan5 +olicies = +rocedures

-actors of E;ecti0e $ommunication

8hat ?appens if *ou 'ont /ake the 8B> 'eadline for Emplo5ees9

?o7 to %ie7 a "locked or 'eleted +role on -acebook

?o7 to Reset an i+hone if it is +ass7ord +rotected ?o7 to Insert an Automatic 'ate $hange in 8ord

Indi0iduals in the accounting profession ha0e a considerable responsibilit5 to the general

public. Accountants pro0ide information about companies that allo7 the public to make

in0estment decisions for retirement: a childs education and maGor purchases such as a

home. -or the public to rel5 on the information pro0ided: there must be a le0el of condence

in the kno7ledge and beha0ior of accountants. Ethical beha0ior is necessar5 in the

accounting profession to pre0ent fraudulent acti0ities and to gain public trust.

Ads b5 oogle

Ethics

Taxation is theft. 8ar is murder.

rothbard.com

-acts
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9/12

In an article entitled J"usiness Accounting Ethics:J atherine ,mith and L. /urph5 ,mith

explain that the main reason for ethical guidelines is not to pro0ide an exact solution to

e0er5 problem: but to aid in the decisionBmaking process. An established set of guidelines

pro0ides an accounting professional 7ith a compass to direct him to7ard ethical beha0ior.

,pecic responsibilities of the accounting profession are expressed in the 0arious codes of

ethics established b5 the maGor organi@ations such as the American Institute of $+As. TheAI$+A $ode of +rofessional $onduct outlines an accountants responsibilities to7ards the

public interest and emphasi@es integrit5: obGecti0it5 and due care.

,ignicance

The e;ects of ethical beha0ior in accounting are far reaching in the econom5. E0er5 business

entit5 has an accounting professional pro0ide information at some point in the organi@ations

life c5cle. /an5 accounting professionals are tempted to alter nancial results and often

rationali@e the beha0ior b5 calling it creati0e or aggressi0e accounting. Aggressi0e

accounting is the process of emplo5ing 4uestionable accounting methods to boost results.

An accountant ma5 record re0enues and expenses in an incorrect manner or omit expenses

altogether. Repeated incidences of aggressi0e accounting are a result of the lack of ethical

beha0ior.

Related Reading:Ethics in the Accounting +rofession

Example

A common example of an ethical dilemma in0ol0es management instructing a subordinate

emplo5ee to record a transaction in an incorrect manner. -or instance: a compan5 7ith a

'ec. K< 5earBend calendar 5ear: signs contracts 7ith consumers to perform ser0ices. The

contracts are usuall5 signed 'ec. < and are a 5ear in length. Accounting principles re4uire

the compan5 to record the re0enue for the contract for one month onl5: the month of

'ecember. The remainder of the re0enue is recogni@ed on next 5ears nancial statements.

?o7e0er: management instructs an emplo5ee to record the entire amount of the contract in

'ecember to boost re0enues for the current 5ear end. /anagement recei0es a bonus for the

boosted re0enue and the subordinate recei0es recognition in an upcoming performance

re0ie7.

,olutions

2nfortunatel5: ethical dilemmas: such as the example pro0ided: are common. To help curbthe desire to practice aggressi0e accounting and ignore ethical beha0ior: a number of

organi@ations re4uire accounting professionals to complete continuing professional

education courses on ethics. In addition: a number of companies establish 7histleblo7er

hotlines to encourage emplo5ees to demonstrate honest5 and integrit5 in the 7orkplace.

$onsiderations
http://smallbusiness.chron.com/ethics-accounting-profession-3738.htmlhttp://smallbusiness.chron.com/ethics-accounting-profession-3738.html


10/12

/an5 accounting professionals do not encourage ethics courses and argue that ethical

beha0ior is not taught: but it is inherent in an indi0iduals personalit5. In addition: -acult5

'irector #. Ed7ard et@ notes that accounting professors do not like to research or stud5

ethics because of its unscientic approach. The results are diFcult to examine and it is hard

to gauge the le0el of success from teaching ethics courses.

What to Look For in an Accountant: The

Importance of Integrity

Michael Sack Elmaleh, C.P.A., C.V.A.

I was recently asked what to look for in selecting a small business accountant. I initially answered with

the obious !someone with e"#erience in your business area$. %ut as soon as I gae this res#onse I

knew that this was not the right answer. &r at least not the full answer. 'he answer I should hae

gien was to first look for someone with integrity. Integrity is a far more im#ortant trait to look for in

an accountant or any #rofessional #erson than the e"tent of knowledge.

'he reason for this is sim#le. Almost all #racticing #rofessionals who hae high integrity will also be

knowledgeable, but more than a few knowledgeable #rofessionals will lack integrity. A #rofessional

who has high integrity recogni(es that their highest res#onsibility is #roiding )uality serice to their

clients. A high integrity #rofessional would not acce#t a client that they could not sere. *or this

reason a high integrity #rofessional will seek to insure that they are thoroughly knowledgeable before

acce#ting a client.

A high integrity accountant is also an honest accountant. +es I know that in the wake of the fall out of

the Enron scandal that #hrase seemed to become an o"ymoron. %ut a ery large number of

accountants were as dee#ly a##alled by the behaior of Arthur Anderson auditors as the general

#ublic. More than a few of us were dee#ly a##alled by the conduct of our #rofessional organi(ation the

American Institute of Certified Public Accountants in o##osing needed reforms to insure that the

auditing #rocess was not tainted by the desire for higher fees.

ow can you tell if you are dealing with a high integrity accountant- &ne telltale sign is their

willingness to say !I do not know the answer to that )uestion$ or !I think the answer is this thus and

so but let me recheck and get back to you$. An honest #ractitioner who is confident in their own

abilities is not bashful about admitting they do not know the answer to eery )uestion. 'he

accountants who lack confidence and or integrity will attem#t to answer eery )uestion des#ite their

lack of certainty.

&ne indicator of an accountant that lacks integrity is one who will boast to you about how he or she

will sae you lots of money on your ta" return. /hile it is true that a com#etent and diligent ta"

#rofessional may be able to sae you money com#ared to lesser trained #ractitioners beware of

#ractitioners who boast of this. 'hese boasts may be thinly eiled hints that lines will be crossed and

unnecessary risks taken. 0ee# in mind that if a #ractitioner is willing to cheat the I1S, more than likely

they are willing to cheat you too.
http://understand-accounting.net/MichaelSackElmaleh.htmlhttp://understand-accounting.net/MichaelSackElmaleh.html


11/12

Most indiiduals and business owners sho##ing for an accountant are not in a good #osition to gauge

directly a #ractitioner2s com#etence leel. oweer, during een a brief interiew most folks can get at

least a sense of whether the #erson has integrity. It also hel#s if you can get recommendations from

indiiduals and business owners you know to hae integrity. Clients with integrity will usually insist on

integrity in their accountants.

*inally, remember it is far easier to ac)uire and #ossess knowledge than it is to ac)uire and #ossess

integrity.

Ensuring Accurate Accounts, Records and Disclosures

We observe the most stringent standards in the keeping of our accounts andrecords. Accurate accounts and disclosures are essential to our operationsand compliance with laws on accounting, taxation, filings, public disclosuresand other important obligations.

Accurate accounts, records and disclosures

Our ompan! is sub"ect to extensive and complex accounting and reporting re#uirements. Our

operations must compl! both with applicable accounting and financial reporting rules and regulations

of the "urisdictions in which the! operate, and with an! international rules and regulations which ma!

appl! as a result of being part of the $ibert! %lobal %roup.

All of our books, records, accounts and financial statements must be maintained in reasonable

detail, appropriatel! reflect our ompan!&s transactions and conform both to applicable legal

re#uirements and to the $ibert! %lobal plc s!stem of internal controls. Our filings with the '.(.(ecurities and Exchange ommission, as well as other public disclosures b! or on behalf of our

ompan!, must be timel!, understandable, fair, accurate and complete in all material respects.

Accounting and financial reporting practices must compl! with applicable generall! accepted

accounting principles and other criteria, such as local statutor! reporting and tax re#uirements.

)urthermore, financial reporting for $ibert! %lobal %roup purposes must be compliant with the

$ibert! %lobal Accounting *olic! +anual. ou ma! obtain a cop! of the Accounting *olic! +anual

from !our hief )inancial Officer or ompliance Officer.

Our internal controls must enable us to demonstrate that entries in our financial records are accurate

and complete and made in accordance with applicable regulations.

-o officer, director, emplo!ee or other person acting on behalf of our ompan! ma! take an! action

intended to influence our ompan!s auditors in an improper manner or to influence the conduct of

an audit of our ompan!s financial statements.


12/12

Emplo!ees involved in our ompan!&s disclosure process must be familiar, and must compl!, with

$ibert! %lobal plc&s disclosure controls and procedures, including internal controls over financial

reporting, so that the reports and other documents filed b! $ibert! %lobal plc with the '.(. (ecurities

and Exchange ommission or (E compl! in all material respects with applicable laws and (E

rules. Disclosures must be made in a timel! fashion and, when made, must be accurate andcomplete in all material respects.

Examples of financial practices that are prohibited and must be reported/

Approving or making an! pa!ment if !ou know that an! part of that pa!ment is to be used for

an! purpose other than that described b! the supporting documents, or if such approval exceeds

!our authorit!.

)raud in preparing, evaluating, reviewing or auditing an! financial statement, such as

concealing or falsif!ing data given to internal or external auditors or making false representations in

the #uarterl! letter0certification process.

)raud in recording and maintaining ompan! financial records, such as intentionall!

recording revenue or expenses in the wrong period, capitali1ing items that should be expensed or

recording personal expenses as business expenses.

-oncompliance with $ibert! %lobal&s Accounting *olic! +anual or internal controls

processes.

+isrepresenting to a senior officer or to the ompan!s internal or external auditors or

accountants a matter contained in the ompan!s financial records, financial reports or audit reports.

2ntentionall! failing to compl! with local statutor! or fiscal re#uirements.

Find out more: ontact !our ompliance Officer or hief )inancial Officer.

*roper authori1ation and approvals

Ensuring that proper authori1ation is obtained for an! transaction is an essential business practice.

Authorit! to approve a transaction does not mean !ou have authorit! to also sign the related contract

or document which binds the ompan!. 3he list of approved signatories for a particular compan! is

generall! small. 2t is !our responsibilit! to ensure that appropriate approvals, signatories and

execution procedures are followed in connection with an! transaction in which !ou are involved and

that !ou abide b! !our personal authori1ation limits. 2f !ou have an! #uestions about !our compan!s

authori1ation re#uirements or limits, please contact the controllers group for !our business unit ordivision or !our ompliance Officer.

unethical accounting practices not only cause instability in the market

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