How a Firm Should Address Ethical Issues as They Relate to Managerial Accounting - Coursework Example

The paper "How a Firm Should Address Ethical Issues as They Relate to Managerial Accounting" is a perfect example of coursework on finance and accounting. Ethics is a critical part of accounting more so managerial accounting. Various institutions form a code of conduct to set ethical behavior that they expect for accountants working in their groups. The objective of managerial accounting is to provide financial information about what happened in the past of the company. Managerial accounting supplies the correct operational information and has its focus on the future of any organization. The facts mentioned above give managerial accountants an important role in maintaining and upholding a business’s ethical culture. An overview of the work of managerial accounting indicates how much of a connection its tasks and responsibilities are with any business ethics and business ethical standards. 

Monitoring functions for managerial accounting include defining standards against which efficiency, performance, and accountability can be measured. Decision-makers in companies require objective and full data when they review business operations and make critical decisions for the enterprise (Maher, Stickney & Weil, 2011). Ethical standards in any organization ensure the information has its report in full to the members and without any bias; positive, or negative.
The field of managerial accounting has a role and takes its role in upholding and maintaining business ethical issues seriously. The global governing body of accountants, International Federation of Accountants, has a code of ethics and code of conduct that applies to managerial accountants throughout the world. The governing body’s code outlines ethical issues and responsibilities of accountants relating to areas such as taxes. It also includes ethical questions that have guidelines that relate to integrity and objectivity, competence, confidentiality and resolution of ethical conflicts (Maher, Stickney & Weil, 2011). IFAC's moral code of conduct and standards are mandatory requirements for any managerial accounting. Read More