Objectivity is a fundamental ethical principle for accountants and auditors that requires fair and impartial judgment without bias or compromise. Accountants must remain independent and free from conflicts of interest when providing accounting services to ensure an honest assessment of a company's financial information. For auditors, objectivity is important because many accounting issues involve questions of judgment rather than fact. A professional accountant should evaluate any threats to objectivity from interests or relationships with clients and apply safeguards like withdrawing from engagements or discussing issues with higher levels of management to reduce or eliminate threats to an acceptable level.

1. Akfamu Dazi 20212543
Arden Roy 21212028
Fajar Trasmoyo 28212392
Faris Sulaksono 22212783
Herlambang Ega P 23212428
Neng Yuki S 25212285
Rivaldi Samah 26212489
Faculty of economics
Gunadarma University
Depok
2015
OBJECTIVITY

2. Ethical Of Accountant
Objectivity
Accounting ethics is primarily a field of applied ethics and is
part of business ethics and human ethics, the study of moral values
and judgments as they apply to accountancy. It is an example of
professional ethics. Accounting introduced by Luca Pacioli, and later
expanded by government groups, professional organizations, and
independent companies. Ethics are taught in accounting courses at
higher education institutions as well as by companies training
accountants and auditors.

3. Objectivity is a state of mind that excludes bias, prejudice
and compromise and that gives fair and impartial consideration to all
matters that are relevant to the task in hand, disregarding those that
are not. Like integrity, objectivity is a fundamental ethical principle
and requires that the auditor’s judgment is not affected by conflicts
of interest. Objectivity and independence are important ethical
values in the accounting profession. Accountants must remain free
from conflicts of interest and other questionable business
relationships when conducting accounting services. Failure to remain
objective and independent may hamper an accountant ability to
provide an honest opinion about a company financial information.
Objectivity and independence are also important ethical values for
auditors.

4. The need for auditors to be objective arises from the fact
that many of the important issues involved in the preparation of
financial statements do not relate to questions of fact but rather to
questions of judgment.
A professional accountant in public practice should consider
when providing any professional service whether there are threats to
compliance with the fundamental principle of objectivity resulting
from having interests in, or relationships with, a client or directors,
officers or employees.

5. A professional accountant in public practice who provides an
assurance service is required to be independent of the assurance
client. Independence of mind and in appearance is necessary to
enable the professional accountant in public practice to express a
conclusion, and be seen to express a conclusion, without bias, conflict
of interest or undue influence of others.
The existence of threats to objectivity when providing any
professional service will depend upon the particular circumstances of
the engagement and the nature of the work that the professional
accountant in public practice is performing.

6. A professional accountant in public practice should evaluate
the insignificant, safeguards should be considered and applied as
necessary to eliminate them or reduce them to an acceptable level.
Such safeguards may include:
•Withdrawing from the engagement team.
•Supervisory procedures.
•Terminating the financial or business relationship giving rise to the
threat.
•Discussing the issue with higher levels of management within the
firm.
Discussing the issue with those charged with governance of the
client.

7. Thank You for Particiation