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CHAPTER 5 (Part 1) - Coggle Diagram

- - - - Integrity
      - Professional behaviour
    - - Enable them to rectify/ remidiate/ mitigate the consequences of suspected / identified NOCLAR
      - Deter the commission of NOCLAR where it has not yet occurred
- - - - Financial interest
      - Other interest
    - - Owning shares in client's co
      - Receive gifts from client co.
  - - - Same person
      - Other prof. accountant from the same firm
  - - - Objectivity is compromised
    - - Acting as an advocate for client in litigation/ disputes
      - Promoting shares in a listed audit client
  - - - Prof. accountant could be too sympathetic to their work
      - Too accepting their work
  - - - Actual /perceived pressure
        
        Attempts to exercise undue influence over the prof. accountant
    - - Being pressured to reduce the extend of work in order to reduce fees
- - - - Obligatory disclosure
        
        Required by law
        
        Legal proceedings
        
        Infringements of law
      - Voluntary disclosure
        
        Comply with quality review of ACCA / other prof. bodies
        
        Respond to an inquiry/ investigation by ACCA / other prof. bodies
        
        Protect interest of prof. accountant in legal proceedings
        
        Comply with technical /professional standards
        
        In public interest
- - - - All listed entities
      - Entities that are of significant public interest
        
        Size
        
        Number of employees
        
        Business
        
        Wide range of stakeholders
        
        Eg. Banks, insurance companies, pension firms
- - - - Professional accountants
        
        Affiliates
        
        Students
        
        Members
      - Fundamental principles
        
        Integrity
        
        Straighforward
        
        Honest
        
        Objectivity
        
        Not to compromise professional /business judgements due to
        
        Bias
        
        Conflict of interest
        
        Undue influence
        
        Professional competence & due care
        
        Attain & maintain professional knowledge & skill at level required
        
        To ensure client receives competent professional service
        
        Based on
        
        Current technical standards
        
        Current professional standards
        
        Relevant legislation
        
        Act diligently & in accordance with
        
        Technical standards
        
        Professional standards
        
        Confidentiality
        
        Respect confidentiality of info acquired
        
        Professional behaviour
        
        Comply with relevant laws & regulations
        
        Avoid any conduct that they know or should know might discredit the profession