Ethics for New Mexico CPAs – 4 Hours

Ethical failures in accounting rarely begin with someone deciding to break a rule. They begin with a dilemma, pressure, and a judgment call. This course for CPAs licensed in New Mexico starts there — with how accountants actually reason through hard situations — before turning to the standards that govern the outcome.

Chapter 1 separates morals from ethics, the internal from the codified, and applies the two theories most often used to resolve professional dilemmas: utilitarianism, which weighs consequences, and deontology, which weighs duties. Worked scenarios show the two reaching opposite conclusions on the same facts. The chapter then turns to environment rather than individual character — the organizational conditions that erode judgment, Reidenbach and Robin’s five stages of corporate moral development, and the collapses at Enron and Wells Fargo as illustrations of what tone at the top produces in each direction.

Chapter 2 supplies the structure: the Code’s six fundamental principles, how principles, rules, and interpretations fit together, and the conceptual framework for situations the Code does not directly address. The seven threat categories are set out with examples for members in public practice and in business alike, followed by the enforceable rules — integrity and objectivity, independence, general standards, acts discreditable, fees and remuneration, confidential information — and guidance on responding to noncompliance with laws and regulations. Examples run throughout, and review questions with answers close each chapter.

Learning Objectives

After studying this course, you will be able to:

• Recognize ethical reasoning used by accountants
• Recognize the core principles within the AICPA Code of Professional Conduct
• Identify the steps within the conceptual framework approach
• Recognize the indicators of impairment of independence
• Identify ethical standards and violations