The importance

information

of

ethics

and

good

management

accounting

Introduction
As the administrative knowledge and technology advance, the organizational
decision process becomes increasingly complex, mainly because of the
amount of information. Concerning this aspect, the quality of information,
wich needs to be relevant, reliable, comparable, and understandable, is one
of fundamental aspect in this new market. Adjusting the materiality with
these aspect, the manager account can create better records with less
quantity, bringing more clear and relevant information to the firm.
On the other hand, as the management administrador receive good earnings
to gain results, they tend to maipulate it, bringing out new problems of
disclousure. Then, as states Christison, I (2005), we have to create good
professional organizations, to inspect and informate that professionals,
always thinking in a better disclousure for the stakeholders.

Literature review

Accoring to Atrill, P. & McLaney, E. (2012), the users of accounting

information, which accompany these mutations and variations may be
internal or external to the organization. Internal users are represented by
managers and employees. Already external users are shareholders, creditors
and government officials. People who are directly or indirectly related to the
firm have an interest in assessing the situation and development of entity.
A good accounting need to be simple and clear, giving the exact idea of the
condition of the company. Thus it nedds to give clear and accurate
information about the situation economic enterprise. Besides, the fact that
one can rely on the information in a timely manner is critical to the decisionmaking process company.
Atrill, P. & McLaney, E. (2012) records that the system information
management must provide basic information that managers need in their
decision-making. Thus, the higher the alignment between the information
provided and the information needs of managers, better decisions can be
taken.
The quality of information available to those responsible for making decisions
can be a differentiator for the company before competitors. However, as they
want to gain results to make money, they tend to commit some deviation of

ethic. In this context, the Code of ethics for professional accountants of CIMA,
brought some interesting rules to avoid this scenario. Along with with, this
professional organization have an important inspecting them.

Application of literature
As the users have specific qualities to the comprehensibility information and
its usefulness for decision making, a specific quality os information is
relevance. To Atrill, P. & McLaney, E. (2012) an information need to be
relevant to the question being analyzed.
Thus, the relevant accounting information is that which reveals manager to
the facts that may influence significantly in their interpretation. The quality
relevance has three elements namely: predictive value, value as feedback
opportunity. Reliability is another key feature specific decisions, wich has
elements as fidelity representation, verifiability and neutrality.
Finally, regarding the recognition threshold, materiality is another parameter,
because the level of detail, clarity and individualization required by records
accounting should be decided according to the importance that it will bring to
the decisions.

Practical application

As a regulator of companies and auditors, we generally assess the

management system of organizations indirectly. Thus, we must determine
whether them check the internal control and management and information
systems correctly.
Another important point of our work is to evaluate if the ethical behaviour of
professional cepticism and independence, professional judgment and others
are in consonance with our rules.

Conclusion:
One of the concerns of the companies at the moment relates to the difficulty
in choosing which information is relevant to the decisions that they present.

The accountants should record only events that are relevant and can be use
in its context. The quality of information, then, needs to be relevant, reliable,
comparable, and understandable. Adjusting the materiality with these
aspects and a honest administrador, we can create better records with less
quantity, bringing more clear and relevant information to the firm.

Reference list:
Atrill, P. & McLaney, E. (2012) Management accounting for decision makers, 7
th ed. Harlow, England: Pearson Education Ltd.
Chartered Institute of Management Accountants. (2010) Code of ethics for
professional accountants Part A, introduction and fundamental principles and
B,
Section
200
introduction
[Online].
Available
from:
http://www.cimaglobal.com/Professional-ethics/Ethics/CIMA-code-ofethics-forprofessional-accountants/ ((Accessed 9 February 2012).

Christison, I (2005). 'A new CPD policy and code of ethics show our will to
preserve CIMA'S "qualification of choice" status'. Financial Management
(14719185), p. 1, Business Source Complete. [Online]. Available from:
http://ehis.ebscohost.com.ezproxy.liv.ac.uk/eds/pdfviewer/pdfviewer?
sid=332eea80-a42f-4e3c-a6a2-ce3f7d26c89f
%40sessionmgr112&vid=9&hid=16 (Accessed 8 February 2012).