Concept of Business Ethics and Corporate Governance

ACCOUNTING
AND FINANCE

Table of Contents
INTRODUCTION...........................................................................................................................3
MAIN BODY..................................................................................................................................3
Concept of Business ethics and its application to accounting theories.......................................3
Current trends and theories of Corporate Governance................................................................5
Universal corporate governance code and incorporation of business ethics...............................6
CONCLUSION................................................................................................................................8
REFERENCES................................................................................................................................1

INTRODUCTION
In this modern era, every company needs to be stay ahead in the competition and
therefore, they all comply with specific ethics, law and legislation. Moreover, to run a company
in ethical manner, it is quite important for the business to incorporate with the ethics and as well
as corporate governance. Business ethics is the study of perfect business policies as well as
procedures with regards to corporate governance, insider trading, corporate social responsibility
and discrimination (Duska, Duska and Kury, 2018). In the same way, current study will provide
a deep understanding of business ethics. Report will critically evaluates the concept of business
ethics with an application to accounting theories. Moreover, report will assess the current trends
as well as theories which are related to corporate governance. Lastly, study will critically
evaluate the entire brief which concern the concept of having a universal corporate governance
code that would incorporate business ethics.
MAIN BODY
Concept of Business ethics and its application to accounting theories.
The business ethics is a very wide concept where the emerging corporate scandals make
themselves prominent while discussing the dilemma of choosing between right and wrong
practices. Accounting theory illustrates that there are different assumptions and methodologies
that must be adopted in order to apply the financial reporting principles (Blay and et,al., 2018).
The historical practices as well the change in accounting trends, both are incorporated in the
accounting theory and its implementation. These therefore, act as a guide in how accounting
should be done and what are the different changes that the businesses should adopt while
reporting the figures. The concept of business ethics on the other hand shows that it is necessary
to choose the right practice over the wrong one and never indulge in the misleading statements
that companies make so often. The accounting ethics is a term that has been developed for the
public and private companies that they are responsible in the claims that they are making and are
able to ensure that all the accountants are complying with the ethics that have been developed.
Integrity is the first business ethics where the accountants should ensure that they much be
honest and forthright with the financial information of the client (Anzeh and Abed, 2015). The
integrity concept states that the accountants must follow the specific rules that have been
developed so that the readers of the financial statements can ensure themselves that the
information that has been reported is true and fair. The objectivity as well as independence of the