An Effective Code of Conduct Has Three Characteristics

question 26

Short Answer

An effective code of conduct has three characteristics. One is that it protects the public rather than members of the organization or profession. What is one other characteristic of an effective code of conduct?

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Definitions:

Financing Activities

Transactions between a business and its sources of funding, including equity and debt, reflected in the cash flow statement.

Net Income

The total profit of a company after all expenses and taxes have been deducted from total revenue.

Common Stock

Shares that constitute ownership in a corporation, providing voting rights and entitling shareholders to a portion of the company’s profits through dividends.

Cash Dividend

A payment made by a company to its shareholders, usually in cash, out of its profits or reserves.