Reporting Practices and Ethics Paper

753 Words Mar 6th, 2013 4 Pages
Financial management is very important to provide a stable and influential organization. It is extremely important for the four elements of financial management to be introduced and used to benefit the prosperity of an organization. There are four recognizable elements of financial management that consist of: planning, controlling, organizing and directing, and decision making. Planning is very important because it is the first step towards accomplishing goals for a company. The financial manager of an organization must identify steps that can help to accomplish the goals of the company. Every organization has to set goals for their company in order to achieve success. Once the goals are made for the company the financial manager is …show more content…
(Tyler Lacoma, (n.d.), What Are the Functions of Generally Accepted Accounting Principles) Also, other principles include: investor research, international business, and flexibility.
Competence is one of the key financial ethical standards that finance professionals must uphold. To be competent finance professionals must [possess the education and training that is necessary for qualifying positions. Also finance professionals must continue to gain knowledge about their position that will help them perform exceptionally on the job in the present and future tense. “The Association for Accountants and Financial Professionals in Business and the American Institute of CPAs states that accountants must be objective, avoiding conflicts of interest”. (Miranda Morley, (n.d.), Accounting Principles and General Financial Ethical Standards) Accountants must not perform services for firms or companies that they have an interest in. Accountants must avoid conflicts of interest because it can lead to dishonest services and manipulation records to provide a false or inaccurate result. Lastly, confidentiality is a financial ethical standard that must be respected and valued. Accountants cannot provide any information about the names or locations of firms because the privacy of many companies are protected by confidentiality and must be used by all accountants to secure privacy. “According to the Association for

Related Documents