You are the management accountant in Company XYZ.Your close friend,Ted,is a shareholder in Company XYZ.Ted asks you for information about Company XYZ that is typically available only to executive officers in Company XYZ.Sharing this information with Ted violates the IMA's ethical standard of ________.

Question

Quizplus · Accepted Answer

Confidentiality is the ethical standard that requires management accountants to maintain the confidentiality of information obtained as a result of their professional activities. Sharing information with outsiders, even friends, can harm the company's competitiveness and reputation and damage the management accountant's professional credibility. Therefore, sharing information with Ted would violate the ethical standard of confidentiality.

You Are the Management Accountant in Company XYZ