Institute of Business Ethics and Realisation: Difference between pages

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__NOTOC__(IBE).
'Realisation' refers to the conversion of assets, profits or losses into cash.


The Institute of Business Ethics is established in the UK to:
Realisation can occur either on the receipt or payment of cash, or at an earlier time when such receipt or payment of cash becomes virtually certain.
*advance public education in business ethics and related subjects
*with particular reference to the study and application of ethical standards in the management and conduct of industry and business.




== Tests of ethical behaviour ==
Generally accepted accounting practice allows the [[recognition]] of income and and assets only when their realisation in the form of cash, or other assets that are readily realisable, can be assessed with reasonable certainty.
The IBE has identified a number of key tests to help to determine whether a course of action, or inaction, is ethical:


* Is the action legal, transparent and fair?
The concept of realisation arose for the protection of the creditors of companies, to ensure that sufficient cash was available to distribute profits without a company or other entity becoming insolvent.
* Who will it affect?
* Who benefits?
 
 
The IBE has developed a Business Ethics Framework to support organisations to address these issues.
 
 
== Establishment of the IBE and international reach ==
Headquartered in London, the IBE was founded in 1986 following the City of London's 'Big Bang' liberalisation.
 
The founders shared a concern that, following liberalisation, 'one’s word would no longer be one’s bond’.
 
 
The IBE strives to work at an international level, both with its multinational subscribers and in close affiliation with other business ethics organisations outside the UK.




== See also ==
== See also ==
* [[ACT Ethical Code]]
*[[Unrealised profit]]
* [[Big Bang]]
*[[Accruals basis]]
* [[Business ethics]]
*[[Recognition]]
* [[Business Ethics Framework]]
* [[Corporate governance]]
* [[Ethical business]]
* [[Ethics]]
* [[My word is my bond]]
 
 
==Other links==
[https://www.ibe.org.uk/about-ibe.html Institute of Business Ethics - about us]
 
[http://www.treasurers.org/node/9783 Does ethics matter? The Treasurer 2010]
 
[[Category:Self_management_and_accountability]]
[[Category:Ethics_and_corporate_governance]]

Revision as of 18:12, 4 August 2015

'Realisation' refers to the conversion of assets, profits or losses into cash.

Realisation can occur either on the receipt or payment of cash, or at an earlier time when such receipt or payment of cash becomes virtually certain.


Generally accepted accounting practice allows the recognition of income and and assets only when their realisation in the form of cash, or other assets that are readily realisable, can be assessed with reasonable certainty.

The concept of realisation arose for the protection of the creditors of companies, to ensure that sufficient cash was available to distribute profits without a company or other entity becoming insolvent.


See also