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The following case requires you to read published academic papers that discuss ethics in auditing and accounting, and that will provide you with insight on opinions regarding how ethics training can be accomplished. 1. "Hollow men and women at the helm ... Hollow accounting ethics?" by Sandra Waddock, Issues in Accounting Education 2005 (Vol. 20, No. 2) pp. 145-150. 2. "Danish evidence of auditors level of moral reasoning and predisposition to provide fair judgments," by Bent Warming-Rasmussen and Carolyn A.Windsor, Journal of Business Ethics 2003 (Vol. 47), pp. 77-87. Based on your reading of the two articles, answer the following four questions. a. What are the major arguments made in the first paper? Do you agree with them? What are the strengths of Professor Waddock s analysis? What are the weaknesses? What does the fact that there were frauds and unethical behavior long before the advent of formal business school education imply regarding Professor Waddock s views? b. What was the average level of moral reasoning for the auditors surveyed in the second paper? What does this imply for potential audit judgments made by those auditors and the extent to which they may be influenced by client preferences? c. Discuss whether you believe that ethics interventions during your college education will be helpful in assuring that your ethical framework will be appropriate for the duties you will be expected to perform as a professional accountant.
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