Question

What are the corporate codes of ethics?

• A. Are always externally audited
• B. Create guidelines for employees to work
• C. Are always compliance based
• D. Are always integrity based.

Answer 1

Answer: (B)

Create guidelines for employees to work

A code of ethics is a guide of principles designed to help professionals to conduct business honestly and with integrity. A code of ethics document may outline the mission and values of the business or organization, how professionals are supposed to approach problems, the ethical principles based on the organization's core values and the standards to which the professional is held. A code of ethics, also referred to as an "ethical code", may encompass areas such as business ethics, a code of professional practice and an employee code of conduct.