审计英语课件第3章.ppt

Chapter 3 Professional Ethics and Legal Liability 3.1 Professional Ethics 3.2 Legal Liabilities Learning Objectives After studying this chapter, you should be able to 1. Understand the meaning of five fundamental principles in the code of professional conduct. 2. Distinguish between independence in fact and independence in appearance. 3. Comprehend the factors that influence auditor independence. 4. Learn the definition of contingent fees. 5. Understand several important professional words, such as business failure, audit failure and audit risk. 3.1 Professional Ethics 3.1.1 Special Needs for Ethical Conduct in Profession 3.1.2 Code of Professional Conduct 3.1.3 Fundamental Principles 3.1.4 Independence 3.1.5 Factors that Influence Auditor Independence 3.1.6 Audit Fees 3.1.7 Advertising and Solicitation Glossary code of professional conduct 职业道德规范 integrity 正直 objectivity 客观 professional behavior 职业行为 confidentiality 必威体育官网网址性 independence 独立性 independence in fact 实质上的独立性 independence in appearance 形式上的独立性 contingent fees 或有收费 advertising and solicitation 广告和招揽 3. 1.1 Special Needs for Ethical Conduct in Profession The term professional means a responsibility for conduct that extends beyond satisfying individual responsibilities and beyond the requirements of our societys laws and regulations. A CPA, as a professional, recognizes a responsibility to the public, to the client, and to fellow practitioners, including honorable behavior, even if that means personal sacrifice. For the CPA, it is essential that the client and external financial statement users have confidence in the duality of audits and other services. If the users believe that CPA firms do not perform a valuable service, the value of CPA firms’ audit and other attestation reports is reduced and the demand for audits will thereby also be reduced. Therefore, there is considerable incentive for CPA firms to conduct themselves at a high professional level. 3.1.2 Code o