An organization develops a code of ethics PRIMARILY because:
A)the code allows for punishment of those who do not follow organizational ethical standards.
B)it helps reduce ethical conflict by avoiding ambiguity and misunderstanding.
C)the management accounting department finds it helpful.
D)it is required by law.

Question

Quizplus · Accepted Answer

A code of ethics helps reduce ethical conflict by providing clear guidelines and expectations for ethical behavior, which can help avoid ambiguity and misunderstanding. While punishment and legal requirements may be factors in developing a code of ethics, they are not the primary reasons. The involvement of the management accounting department also may not be a primary factor in developing a code of ethics.

An Organization Develops a Code of Ethics PRIMARILY Because