AICPA is an abbreviation which stands for the American Institute of Certified Public Accountants. AICPA is a kind of an association which is capable of developing as well as scoring the unvarying certified public accountants (CPA) examinations. The persons who want to qualify for the certification for public accountant in the United States of America are therefore required to do very well in their CPA exams. AICPA has a certain professional code of conduct which includes integrity and objectivity standard, which must be adhered to for the growth and development of any business or other company.
Jon Williams who is a CPA in the Oneway Corporation is facing some challenges due to his two relationships in the organization which he has to cater for. The first issue is the fact that Raul would like to reward Sandra with majority ownership upon his retirement which might be a great challenge to Chris Barnes, who is his close friend. On the other hand, Chris requested Williams to keep him updated on Raul’s plans because probably it might end up making him suffer so much financial-wise from the ownership change transaction if he does not know Raul’s plans. However, it will not be professional if William tells out anything that might lead to chaos to the Corporation, and by extension, underdevelopment of the Corporation. Additionally, Williams claimed not have a close relation with Sandra who happens to be the main cause of the problem to Chris, and also Sandra makes use of a different CPA during the times of her tax return. To be fair and ethical Williams has to apply the AICPA code of professional conduct regardless of the fact that, there are some constraints which are automatically going to be encountered.
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The AICPA code of professional conduct refers to a collection of the statements which have been codified, and they are normally given out by the American Institute of Certified Public Accountants, merely known as the AICPA. The key principles of AICPA professional code of ethics which Williams is supposed to apply are the integrity and objectivity which might be a huge challenge in regard to the situation in hand. Integrity by definition is the unwavering adherence to a firm ethical code.
Under integrity, the professional code of ethics of AICPA states that all the members should undertake all their professional responsibilities with the maximum sense of integrity for them to be assured of maintenance and broadening of the public confidence. This is a constraint to Williams considering that he has to keep the confidence of the two parties, that is Chris and Sandra, at both personal and business level. Instead of carrying out secret research of Raul’s plans concerning his shares and the control of the whole corporation, Williams should explain to Chris the importance of transparency in the future of any business organization. Moreover, Williams should request Raul for a meeting for him to give his plan concerning his nearing retirement, and to be specific, his plans on his shares and also the control of the Oneway Corporation. Through this meeting, all members with an inclusion will be able to speak out their minds as well as enquiring of different issues which they have always been uncomfortable about. This will help Chris get a clear answer to his doubts hence being able to plan for his future. Consequently, this will increase the confidence of all members leading to the fast growth of the Corporation. That will be right and just for the members, and also it will be in accordance with the professional code of ethics. However, it might be a constraint due to the fact that Williams may end up losing friends.
The other key principle happens to be objectivity standard, just like it had been stated earlier. Under the objectivity standard, the professional code of ethics of the AICPA states that a member should always make sure that objectivity is maintained and also be free of the conflicts of interest when it comes to the discharge of the professional responsibilities. Objectivity by definition that is in regard to business is the state of the human mind and it is a quality which is able to lend value to the services of the member. This principle imposes that the responsibility should be intellectually honest, impartial and free of conflicts of interest. The chances of this case being free from conflicts are very low because Chris and Sandra will not be happy with each other due to their working positions. Sandra would like to be promoted once Raul has retired while at the same time, Chris would like to maintain his position even after Raul’s retirement. Since Williams will be the one who has revealed the whole story, he might end up being blamed for it, which was not his wish at all. Therefore, this might end up being another constraint but the principle is worthy of being applied since it leads to the growth of the Corporation because more crisis would have been avoided through transparency.
In conclusion, integrity and objectivity standard, must be adhered to for the growth and development of any business or other company. Under integrity, the professional code of ethics of AICPA states that all the members should undertake all their professional responsibilities with the maximum sense of integrity for them to be assured of maintenance and broadening of the public confidence. Under the objectivity standard, the professional code of ethics of the AICPA states that a member should always make sure that objectivity is maintained and also be free of the conflicts of interest when it comes to the discharge of the professional responsibilities.
