5. Ethical Issues

Question 1

Triple Bottom Line

Answer 1

Financial, social and environmental performance

Question 2

Businesses Must Display

Answer 2

Businesses must display:

• integrity
• objectivity
• confidentiality
• high level of professional and technical ability

Question 3

Unethical Behaviour

Answer 3

• using business credit cards for personal expenses
• report showing higher share value to attract investment
• actions not transparent to shareholders

Question 4

Monitoring Institutions

Answer 4

Institute of Chartered Accountants Australia
- sets accounting standards in the preparation of financial
reports
- some financial managers will try to stretch the
rules

ATO
- monitors the ethics of businesses.

Audit - independent check of financial records