a. Public interest refers to the welfare, well-being and common good of the general public or society as a whole. To the professional accountant, public interest is the collective well-being of the business and financial community, people and institutions that the accountant serves and others who rely on the work of the accountant.

b. Matters covered under public interest are:

i. Detecting and reporting any serious misdemeanour or crime;

ii. Protecting public health and public safety;

iii. Preventing the public from being misled by a statement or action of an individual or an organisation;

iv. Exposing the misuse of public funds and corruption in government; and

v. Revealing the existence of any conflict of interests of those individuals who are in a position of power or influence.

c. Four expectations of the public of a professional accountant are:

i. Acting with integrity, and being honest and straight-dealing;

ii. Providing objective opinions and advice, free from bias, influence or conflicts of interest;

iii. Using specialised knowledge and skill at an appropriate level for the work;

iv. Confidentiality: respecting the confidentiality of information provided by clients;

v. Avoiding any action that brings the profession into disrepute; and

vi. Compliance with all relevant laws and regulations.

d. Critical theory in accounting, also known as Critical Accounting Theory (CAT), critically examines conventional accounting practices, highlighting their social, political, and economic consequences and advocating for a more socially just and equitable approach.

 It challenges the assumptions and methodologies of traditional accounting, recognising that it is not a neutral or objective tool but rather a social construction influenced by power dynamics and ideology.

 It challenges the traditional view that accountants are objective individuals, free from bias and influence, with technical expertise, who can present reality accurately in the information they provide. Four of its concepts are:

i. Financial reporting standards and other regulatory requirements establish technical rules. A function of the professional accountancy bodies is to provide rules of conduct and ethical behaviour, with the expectation that all members should follow the rules. Accountants might not be moral by nature, but they can be taught to think and act ethically.

ii. Occasional problems will inevitably arise when some accountants choose a different set of rules or deliberately break the rules. The consequences depend on the nature of the infractions. In an extreme case, such as that of Enron, breaking the rules by accountants contributed significantly to the company’s collapse. Even in the Enron case, the accountants who were prosecuted and imprisoned did not necessarily understand what they had done wrong. They were doing the same as other people and adopting the company’s culture.

 Alvesson and Willmott (1996) argue that employees enter a company with a notion of fairness and justice, which they expect to see reflected within the company. However, different people have varying views on what is right and wrong. Fairness and justice are abstract concepts and values that hold different meanings for different employees and in various work situations. This is how different cultures (and different sets of rules) arise.

iv. For companies and accountancy firms to apply ethical rules of conduct, there is a need to develop and implement business codes or professional codes of ethics. If consistently applied, these can help create a better understanding among accountants of what is right and wrong, how to identify moral dilemmas, and how to act when an ethical problem arises.