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F1 BPP ST(August 2020) [Unlocked by www.freemypdf.com] (1)

 EXAM FOCUS POINT 
The key to answering exam questions in this area is to apply ACCA's fundamental principles. Also, you 
will probably get a feeling of whether a situation is unethical or not. Use the principles and your 
instinct to come to your own conclusion.
BPP Tutor Toolkit Copy


CHAPTER 19
//
ETHICAL CONSIDERATIONS 
 
503 
Even if you did have the required competence, it is probable that you could not offer due care, as any 
advice you give would be on the spot, and you would not have been able to look into the matter in 
enough detail. 
 
QUESTION 
Holiday cover
 
You have been asked to cover the duties of one of your colleagues while they are on holiday. One of their 
duties is to distribute the management accounts to the department managers a few days before they 
hold the monthly accounts meeting. Before they left, your colleague told you, 'Just print off the accounts 
and put them on each manager's desk'. 
ANSWER 
Confidentiality
is the issue here. Management accounts are usually only for the eyes of top 
management, so you should reduce the risk of them getting into the hands of anyone else. Leaving 
unprotected copies on a desk makes them vulnerable. Ideally they should be handed directly to the 
manager concerned, or sealed in a confidential envelope if they must be left on their desk. 
 
QUESTION 
Cunning plan
 
Your finance director has asked you to join a team planning a takeover of one of your company's 
suppliers. An old school friend works as an accountant for the company concerned, the finance director 
knows this, and has asked you to try and find out 'anything that might help the takeover succeed, but it 
must remain secret'. 

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