Consider the following statement and explain the relationship between legal compliance on a global level and ethical responsibilities of accountants and auditors: “Ethical values and legal principles are usually closely related, but ethical obligations typically exceed legal duties.”
Consider the following statement and explain the relationship between legal compliance on a global level and ethical responsibilities of accountants and auditors: “Ethical values and legal principles are usually closely related, but ethical obligations typically exceed legal duties.”
The statement in the question states that the ethical responsibilities of an auditor are above his legal responsibilities. AN auditor has to fulfil his legal as well as ethical obligations. Ethical and legal responsibilities are closely tangled as both of them focuses on right and wrong activities of any person and prevent any immoral acts. As a legal obligation, an auditor has to comply with laws and rules of the country where the company functions. On the other hand, as an ethical obligation, the auditor has to perform his work in consideration of moral values and principles, even if it not his legal responsibility.
Step by step
Solved in 2 steps
