(ANSWERED) FAITH INTEGRATION PAPER ACCT521

In order to begin this assignment, you should reflect on the following topics covered in the
course:
 Cost Accounting and Ethical Dilemmas
 Cost Analysis and Estimation
 Product, Services, and Job Costing
 Process and Activity Based Costing
 Cost Management and Allocation
 Management Control Systems, Planning and Budgeting
 Business Unit Measurement and Transfer Pricing
 Variance Analysis and Capital Investment Decisions
You are required to prepare a minimum 1,000 word essay describing how the Bible is related to
the topics covered in the course. In addition, you should include at least four scholarly sources,
including the textbook, to substantiate your positions.
You must cover all the key components of the course topics, clearly state and support all major
points, ensure thoughtful analysis to consider all assumptions, implications, and comparisons,
and have a clear, logical flow to your paper. Ensure you utilize scriptural support, in addition, to
your scholarly sources throughout your paper to bring clarity to issues relating to biblical
principles and experiences.
Note: Your assignment will be checked for originality via the Turnitin plagiarism tool.

Faith Integration Paper Grading Rubric | ACCT521_B02_202320

EXPERT A+ ANSWER:

Faith Integration into Accounting Practices

Accounting practices are highly guided by the general accounting principles and ethics, which seek to protect the accountants and the users of financial information. However, despite the existence of these principles and policies, such as the Sarbanes-Oxley Act of 2002 that offers auditing and financial regulations for public companies, firms and accountants still commit some financial crimes (Lanen et al., 2023). In this regard, there is need for other innate values and virtues that help accountants and financial information users to avoid getting into unethical practices. While there are many policies to refer to, religious principles can significantly help in defining ethical accounting practices. Faith integration into accounting process will help accountants to understand the importance of ethics, integrity and honesty in business perspectives. Though the bible is not directly linked to accounting concepts, most of its principles can be applied to cost accounting and ethical dilemmas, cost analysis and estimation, management control systems, planning and budgeting, as well as transfer pricing.

The relationship between the Bible and cost accounting is not direct in terms of accounting policies on the phase meaning as there is some parallels between the two. In terms of definition, cost accounting refers to the branch of business accounting that deals with cost analysis of products and services. Cost accounting plays a critical role when it comes to making informed decisions about the business, pricing and resource allocation. Cost accounting plays a critical role in improving the performance of a firm and its market value. As a cost accountant, one must follow ethical virtues that cut across religious teachings and business practices. The Bible presents so many values and virtues in different verses. For instance, the Bible talked about the importance of being wise stewards of resources and managing resources well.

In Luke 14:28, Jesus advised his followers to count the cost before embarking on a project. The same concept applies in cost accounting where all resources must be accounted for the firm to reflect the progress of the firm. Ethical dilemmas also have connection to the Bible. The Bible touches much on ethical behavior and decision-making (Davis). For instance, Ten Commandments sets guidelines for moral behavior and Jesus’ teachings like love to neighbors. The Bible also presented many ethical dilemma stories related to difficult decisions lie Daniel in the lion’s den and Esther standing before the king. In the business context, cost accounting and ethical dilemmas intersect whenever businesses face decisions on resource utilization and sound financial management (Davis). For instance, decisions like cost cutting may include downsizing company’s employees requires ethical application and biblical teachings. Therefore, institutions should turn ethical principles found in the Bible and other professional guidelines during business decision-making.

In terms of cost analysis, we can also derive some principles from the Bible even though they are not directly related to cost analysis and estimation.  The teachings on stewardship can be applied in financial decision-making. For example, the book of Proverbs 21:5 states that “plans of the diligent contribute to the profits, as haste leads to poverty”. When applying such concepts to businesses, accountants are encouraged to carefully plan and prepare for their business activities which include cost estimation and general financial planning through budgeting (Lemler). Following these teachings, business people are encouraged to be responsible and promote prudent management of resources through effective planning and preparation for the uncertainty in business cycles.

Cost management resource allocation is key element of cost accounting that even though may not be directly addressed by the bible, the business can borrow some indirect related concepts to improve their management.  Apart from the concept of stewardship, the prudent management of resources cuts such as right spending of resources and value maximization can only be done ethically when some biblical teachings are effectively applied (Lemler). For example, the Bible talks widely about the essence of fairness and justice in all aspects of life of which business and finance is not left out. In cost allocation, businesses need to promote this concept by adhering to fair and equitable distribution of resources across stakeholders without biasedness. The moral and ethical framework for fairness provided by the Bible can therefore be treated as the back born for the firms to attain the best and relate well by the society (Davis). The society also needs to benefit from the business of which in these principles will guide the firm not to over exploit consumers through high prices and under quantify their products.

Applying various concepts of the Bible in management control system, planning and budgeting can improve the success of a firm. The Bible talks about issues like ethical behavior, leadership and stewardship which are all core of management control. Applying teachings like those in Proverbs 21:5 when doing planning and budgeting may help the to improve its market value as it carefully plan for the future of the business (Lemler). The Bible also talked about stewardship that has a direct importance in stewards of resource management. Financial resources must be well management in a way that they give profit from their investments. For instance, Mathew 25:1-30 talked about the parable of talents where the master entrusted his servants with different amounts of money and expect them to making earnings from them by wisely investing them. The parable teaches us about the value of planning and budgeting that involves effective allocation of resources and producing more from the use of certain proceeds. Additionally, the Bible also teaches about ethical behavior in business dealings where business people are expected to be honest and of high level of integrity. Being transparent and being free from corruption is a key concept that all accountants must embrace especially in regards to financial reporting (De Roover). Also, businesses should treat their employees fairly, avoid fraud activities and overcharging their customers as these form ethical practices that guide business to be responsible in all their operations.

In summary, even though the Bible does not directly relate to business accounting, there are so many lessons and virtues that business entities should borrow from the bible. From the Book of Genesis to the New Testament, the bible talks about various concepts that include also giving a tithe and offering sacrifices to God. In New Testament, Jesus talked about giving Caesar what being to Caesar, which can loosely be translated to the importance of paying tax. The same concept when Jesus talked about fraud, corruption and over taxation as the case of Zacchaeus, the business should not over price its customers, nor the government over taxing her citizens. Ethical behaviors and virtues highlighted in the bible such as honesty, integrity and fairness should be embraced in the business. Therefore, the knowledge and teachings of the Bible are worth integrating in the business as they lay the ground for ethical business practices.

References

Lanen, W. N., Anderson, S. W., & Maher, M. W. (2023). Fundamentals of Cost Accounting (7th ed.). McGraw Hill.