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Accountants have access to the financial information of the company or the individual which can be used in the wrong way. With such power and responsibilities, there also comes a possibility of abusing that information and manipulating it and thus, there comes accounting ethics. Accounting Ethics is a set of ethical rules and regulations that are made by the governing bodies that every person who is related to the accounting field must adhere to. Accounting ethics is a very crucial part to maintain the dignity of the accountant as well as the company and individuals. 

  1. Prevents the misuse of information

There are various standards and rules are set by the administering bodies that oversee the activity of the individual related to the accounting. This forestalls the abuse of the data access of the client with the accountant, auditor, or some other accounting individual.

  1. Punishment for breaching the ethics

In the event that the individual doesn't follow it, then, at that point, the individual will be punished for breaching the code of conduct and appropriate punishment would be given as chosen by the overseeing bodies. This creates fear in the psyche of the individual and prompts follow-up suitably.

  1. Goodwill & growth of business

The organizations which give appropriate consideration to accounting ethics generally improve as compared to other organizations as it makes the right picture according to the clients and in this manner helps in expanding the business over the long haul.

  1. Stable and ethical work environment

It establishes a superior professional environment as everybody has the appropriate attitude of keeping an undeniable degree of ethical guidelines. An additional reward is given to that individual who follows the morals precisely when and where they are working.


Miles Education is the number one training institute for CPA/CMA exams in India for the last 10 years. It has a presence across 20+ cities in India, UAE, and the USA. It has corporate tie-ups with 200+ MNCs including the Big 4s and 150+ educational institutions partnerships including XLRI. To know more about how you can prepare and how you can appear for exams, do visit mileseducation.com

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