ACCOUNTING ETHICS (ACC 418)
CASE INSTRUCTIONS
Biblical and Ethical Analysis
This is adapted from the Mintz and Morris textbook, especially from the decision-making model. But it is condensed and adapted to incorporate biblical considerations.
When you prepare the case, make sure that you follow all eight steps listed below. Also make sure that you fullyanswer all of the questions asked in the textbook.
When writing your solution, assume that the person reading the case doesn’t have a copy of the textbook handy. That means you will be required to quote a lot of the case in the book. Make sure that you use correct citations so that your grade will not be penalized for plagiarism as indicated by its Turnitin.com originality index.
- Frame the ethical issue. What is the problem or dilemma faced by the accountant?
- Gather all of the facts. This may involve research to find information not found in the textbook.Here is where you should restate the facts as given in the textbook.
- Identify the stakeholders and obligations. Who is involved? What do they have at stake? Remember, for accountants, there are at least three parties involved, and sometimes four:
- the accountant himself
- the accounting firm or the company the accountant works for
- the investors in the firm the accountant works for, or the investors in the audit client
- and for auditors, the audit client
And anytime we sin against one of these parties, we also sin against God (compare the preface to Psalm 51 withPsalm 51:4 and 2 Samuel chapters 11 and 12).
- List the relevant principles involved. This will consist of three types of principles: 1) biblical; 2) legal code; and 3) the accounting codes of ethics (professional standards). If you don’t know any of these three types very well, you should ask your instructor for help early in the course.
- List the possible alternatives of what the accountant can or cannot do. At this stage, you are not yet choosing which of the alternatives are best; you are simply listing them.
- Make an ethical analysis of the alternatives. Rank the alternatives listed in Step 5 according to the following questions: 1) Is the alternative consistent with biblical principles? 2) Is the alternative consistent with professional standards? 3) Is the alternative legal? (remember, legal is not the same as ethical). 4) Is the alternative consistent with my firm’s code of conduct/ethics? 5) What are the potential benefits or harms to stakeholders? 6) Is it consistent with classical virtues?
- Decide on a course of action. Choose the best alternative listed in Step 5.
- Reflect on your decision. Discuss the reasons why you selected the option you chose in Step 7, and why you rejected the others. Your moral reasoning, and your ability to clearly explain your moral reasoning, is a crucial part of your grade.
RUBRIC FOR THE WRITTEN CASE
Name of Student: ___________________________________________
| Item | Criterion | 0.00 -5.00 | 5.01 – 10.00 | 10.01 – 15.00 | 15.01 – 20.00 | Total (0-20) |
| 1. | Completion | |||||
| 2. | Format | |||||
| 3. | Expression | |||||
| 4. | Research &Findings | |||||
| 5. | Christian worldview
| |||||
| Total Written Points | ||||||
| Instructor comments:
| ||||||
- Completion of required components
0.00 – 5 Document was missing major components, and didn’t follow the required order of the case study.
5.01 – 10 Document was somewhat complete but was missing more than 2 required components.
10.01 – 15 Document was somewhat complete but was missing 1 or 2 required components.
15.01 – 20 Document was complete and contained all required components.
- Adherence to format
0.00 – 5 The document did not adhere to the required format for case study.
5.01 – 10 The document displayed some formatting, but was loosely organized.
10.01 – 15 The document showed a moderate attention to formatting, but requires significant work.
15.01 – 20 The document was well formatted and organized.
- Expression of case study(grammar, spelling, and punctuation)
0.00 – 5 The case study had more than 15 errors, and was not, therefore, professionally expressed.
5.01 – 10 The case study had 10-15 errors in grammar, spelling, and punctuation.
10.01 – 15 The case study had 6-10 errors in grammar, spelling, and punctuation.
15.01 – 20 The case study had only a few (0-5) errors in grammar,spelling, and punctuation.
- Accurate Conclusions supported.
0.00 – 5 The document lacked support for its conclusions.
5.01 – 10. The document contained only a cursory explanation of the reasons for its conclusions, but failed to adequately support findings (case study).
10.01 – 15 The document contained clear and complete support for its conclusions but was not persuasive.
15.01 – 20 The document containedpersuasive, clear and complete support for its conclusions.
- Christian worldview
0.00 – 5 The document expressed no Christian worldview or biblical foundation.
5.01 – 10 The document expressed a singular biblical tenet, but didn’t clearly integrate it into the case study.
10.01 – 15 The document expressed several biblical foundations that were minimally integrated into the case study.
15.01 – 20 The document expressed several biblical foundations that were well integrated into the case study.