2. What general guidance does the AICPA Code of Professional Conduct provide to auditors faced with an ethical dilemma? Provide specific citations in your answer.

INSTRUCTIONS: Based on the video case, imagine that you were a member of the audit team that audited the City of Dixon. You write a 3-5 page reflection paper answering the following questions. This needs to be in paper format, not simply answers to questions!

Here is the link and passcode for the ethics case: https://vimeo.com/243961787 atqhfeb14

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INSTRUCTIONS: Based on the video case, imagine that you were a member of the audit team that audited the City of Dixon. You write a 3-5 page reflection paper answering the following questions. This needs to be in paper format, not simply answers to questions!

1. What is the ethical dilemma in this case? Discuss the dilemma using the 6-Step Method for Managing Any Ethical Dilemma.

2. What general guidance does the AICPA Code of Professional Conduct provide to auditors faced with an ethical dilemma? Provide specific citations in your answer.

3. The AICPA Code of Professional Conduct and the IESBA Code of Ethics for Professional Conduct both define independence as consisting of independence of mind and independence in appearance. Discuss either concept in relation to the case facts.

4. What relevant facts and circumstances in this case would influence your ethical decision making process if you were the auditor? Discuss how professional skepticism should have played a role using the six characteristics of skepticism.

5. Look up the elements of the fraud triangle. Discuss the fraud triangle in relation to Rita’s case.

6. Define segregation of duties. How would you discuss the lack of segregation of duties within the city?

7. Define internal control weakness. Discuss the internal control weaknesses at the City of Dixon. Discuss internal controls that could have prevented Rita’s fraud.

8. What are the three characteristics that distinguish white-collar crimes from other types of crime? Explain how these characteristics are illustrated in Rita’s case. Do you think white-collar crimes, such as the one Rita committed, are caused only by individual moral weaknesses or are other factors involved? If other factors are involved, what are they?

9. Can you think of a time in your life when you rationalized an unethical decision? It need not be limited to the workplace; it might be a choice you made in a close relationship, at school, or in another activity. What were your rationalizations? Looking back, how could you have combated those rationalizations in the moment? What are some rationalizations you hear for fairly common unethical choices, like cheating on tests? Can you come up with arguments against those rationalizations?

10. Do you believe that there are cultural differences that might impact someone’s choices in this setting? If yes, what are they and why should this matter if you a responsible for hiring people globally for your audit team?

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