AAT L2 Professional Ethics in Accounting

Question 1

Which of the following is one of the five fundamental ethical principles in the AAT Code of Professional Ethics?

Accepted Answer

Integrity

Answer

The AAT's five fundamental ethical principles are integrity, objectivity, professional competence and due care, confidentiality, and professional behaviour.

Question 2

An accountant who avoids bias and conflicts of interest is demonstrating which fundamental principle?

Accepted Answer

Objectivity

Answer

Objectivity requires accountants to avoid bias, conflicts of interest, or undue influence that could override professional judgement.

Question 3

Which of the following best describes 'professional behaviour' as an ethical principle?

Accepted Answer

Acting in accordance with relevant laws and regulations and avoiding conduct that discredits the profession

Answer

Professional behaviour requires accountants to comply with relevant laws and regulations and avoid any conduct that would discredit the accounting profession.

Question 4

What is a 'self-interest threat' in the context of professional ethics?

Accepted Answer

A threat arising from a financial or other interest of an accountant or a close family member that could inappropriately influence judgement

Answer

A self-interest threat occurs when an accountant or close family member has a financial or other interest that could improperly influence the accountant's professional judgement.

Question 5

'Professional competence and due care' as an ethical principle requires an accountant to:

Accepted Answer

Maintain professional knowledge and skill at the required level and act diligently in accordance with applicable standards

Answer

This principle requires accountants to maintain professional knowledge and skill at the level needed to ensure competent service, and to act diligently according to applicable technical and professional standards.

AAT Level 2 Practice Test

AAT Level 2 Practice Test

AAT L2 Professional Ethics in Accounting