Sec F - Professional Ethics

Question 1

IMA ethical standards

Answer 1

IMA ethical standards:

1. Mitigate actual conflicts of interest. Regularly communicate with business associates to avoid apparent conflicts of interest. Advise all parties of any potential conflicts of interest.
2. Refrain from engaging in any contact that would prejudice coming out duties ethically.
3. Abstain from engaging in or supporting any activity that might discredit the profession.
4. Contribute to a positive ethical culture and place the integrity of the profession above personal interests.

Question 2

IMA’s 4 overarching ethical principles

Answer 2

IMA’s 4 overarching ethical principles:

1. Honesty
2. Fairness
3. Objectivity
4. Responsibility

Question 3

IMA standards

Answer 3

IMA standards:

1. Competence
2. Confidentiality
3. Integrity
4. Credibility

Question 4

Fraud Triangle Model

Answer 4

Fraud Triangle Model:

1. Pressure
2. Opportunity
3. Rationalization

Question 5

Four Levels of Social Responsibility

Answer 5

Four Levels of Social Responsibility:

1. Economic — marketplace success, creating value
2. Legal — gov’t registration and taxation, business and employment practices
3. Ethical — meet expectations of corporate citizenship
4. Philanthropic — positively benefitting society

Question 6

Teleology

aka consequentialism

Answer 6

Teleology
(aka consequentialism)

The end justifies the means

Utilitarianism is common branch of teleology that defines goodness as that which brings the overall greatest benefit, or utility, to society.

e.g., eminent domain where gov’t forces landowners to sell property for public use

Does not speak to distribution of benefits, only total benefit.

Question 7

Deontology

Answer 7

Deontology

Goodness comes from acts that are in accordance with our obligations.

“Do unto others as you would have them do unto you”

Deontology also always demands inaction in face of moral dilemmas, which only have undesirable choices.

Question 8

Virtue ethics

Answer 8

Virtue ethics

Focuses less on the judgment of actions in their own right and more on the character of individuals.

Virtue ethics allow actions to be judged based on their motives.

Question 9

Justice

Answer 9

Justice
• each person possessing what they own
• allows for treating different individuals differently based on the consequences of their actions / decisions
• legal construct, ethical purpose of the state

Distributive justice refers to the ability of social and government institutions to allow for a fair and just distribution of goods and penalties

Retributive, or corrective, justice focuses on propriety a punishment to those who have compromised the rights of others

Compensatory justice deals with making victims whole