Mississippi: Professional Ethics for Mississippi CPAs (Course Id 2546)

This 4-hour course is designed to meet the professional ethics CPE requirement for Mississippi CPAs.  It provides an overview of ethical thought along with the core values of the CPA profession and the application of these values to ethical reasoning.  The contents of the Mississippi State Board of Public Accountancy Rules and Regulations, Title 30, Chapter 6 - Rules of professional conduct are covered as are other selected topics in Title 30 of the Mississippi Rules and Regulations as well as Mississippi Code Title 77, Chapter 33-16.  The AICPA Code of Professional Conduct is also covered in detail.  Case studies are utilized throughout the course to emphasize material.

Please Note: This course is approved by the Mississippi Board of Accountancy.

NASBA QAS - Text - NASBA Registry - 2546

Course Learning Objectives

• Recognize ethics from an overall and professional perspective
• Recognize the ethical standards contained in the Mississippi State Board of Public Accountancy rules
• Recognize the ethical standards contained in the AICPA Code of Professional Conduct

Chapter 1 - Professional Ethics for Mississippi CPAs

Ethics Background

Morals

What is Ethics?

The Relationship of Morals and Ethics

Illustrative Examples of Ethics

Professional Ethics

Legal versus Ethical

Why Should We Study Professional Ethics?

Accounting Ethics

Ethical Core Foundations for CPAs

Review Question

Ethical Reasoning

Case Studies – Threats and Safeguards

Ethical Dilemmas

Public Expectations of the CPA’s Responsibility

Enron and Arthur Andersen

Bernard Madoff Investment Securities LLC – Failures in Expressing an Opinion on Financial Statements

Motivations of Ethical Lapses

Review Question

Mississippi Rules and Regulations, Title 30, Chapter 6. Code of Professional Conduct.

Rule 6.1 Preamble

Rule 6.2 Independence

Rule 6.4 Objectivity

Case Study: Year End Adjustments and Loan Covenants – Objectivity

Rule 6.5 Solicitation, Advertising and Public Communication

Rule 6.6 Commissions

Rule 6.7 Contingent Fees

Case Study:  A Little Extra Income – Contingent Fees

Rule 6.8 Competence

Rule 6.9 Auditing Standards

Rule 6.10 Accounting Principles

Rule 6.11 Other Professional Standards

Rule 6.12 Confidential Client Information

Rule 6.13 Records

Rule 6.14 Discreditable Conduct

Rule 6.15 Discipline by Federal and State Authorities

Rule 6.16 Form of Practice

Rule 6.17 Prohibited Acts

Mississippi Rules and Regulations, Title 30, Chapter 3. CPA Firm Permits

Rule 3.1 General Requirements

Case Study: Audit Experts Group - Name Requirements

Rule 3.2 Reinstatement of a CPA Firm Permit

Mississippi Rules and Regulations, Title 30, Chapter 4. Continuing professional education.

Rule 4.1 Compliance Requirements and Reporting

Rule 4.2 Records

Rule 4.3 Qualifying Programs

Rule 4.4 Program Sponsors and Presentation Standards

Rule 4.5 Disciplinary Actions Relating to CPE

Mississippi State Board of Public Accountancy FAQ’s

Mississippi Rules and Regulations, Title 30, Chapter 2. Licenses and Practice Privileges

Rule 2.3 Registration

Chapter 20-10. Permits to practice issued to individuals.

Rule 2.4 Reinstatement of a License

Rule 2.5 Retirement Status or Permanent Disability

Rule 2.6 Reciprocity

Rule 2.7 Replacement Certificate of Licensure

Mississippi Rules and Regulations, Title 30, Chapter 5. Quality Review/Peer Review

Rule 5.1 Purpose

Rule 5.2 Definitions

Rule 5.3 Enrollment in Board-Approved Peer Review Program

Rule 5.4 Reporting to the Board

Rule 5.5 Effect of Consecutive Deficient Reports

Rule 5.6 Approved Peer Review Sponsoring Organizations, Programs and Peer Review Standards

Rule 5.7 Peer Review Oversight Committee

Rule 5.8 Investigations

Mississippi State Board of Public Accountancy FAQ’s

Mississippi  Code Title 73, Chapter 33 – 16  Ownership of Working Papers; Privileged Communication

Review Questions

The AICPA Code of Professional Conduct

About the Code

Preface

Part 1 – Members in Public Practice

Rule 1.100 Integrity and Objectivity

Case Study – Married Tax Clients Divorcing

1.130 Preparing and Reporting Information

1.180 – Responding to Noncompliance with Laws and Regulations

Case Study – Year End Adjustments and Loan Covenants

1.200 - Independence

Review Questions

Rule 1.300—General Standards Rule

Case Study – Audit Engagement with No Prior Experience

1.310 Compliance with Standards Rule

Case Study – Peer Review Discoveries

1.320 Accounting Principles Rule

1.400.001 Acts Discreditable Rule

1.510.001 — Contingent Fees Rule

1.520.001—Commissions and referral fees Rule

1.600.001 —Advertising and other forms of solicitation

1.700.001— Confidential client information rule

1.800.001—Form of organization and name rule

Review Questions

Part 2 – Members in Business

2.100.001 – Integrity and Objectivity Rule

2.130.030 Obligation of a Member to His or Her Employer’s External Accountant

2.170.010 – Pressure to Breach the Rules

2.180.010 Responding to Noncompliance With Laws and Regulations

Case Study – Fair Finance

2.300.001 — General standards rule

2.310.001—Compliance with standards rule

2.320.001—Accounting principles rule

Case Study - The Company with Excess Reserves

Case Study - The Company with Undisclosed/Unrecorded Contingencies

2.400.001 Acts Discreditable Rule

2.400.070 Confidential Information from employment or volunteer activities

Part 3 – Other Members

3.400.001 - Acts discreditable rule

3.400.070 Confidential Information from employment or volunteer activities

Review Question

Glossary