EAT Ltd., a company engaged in the manufacturing of packaged food products, launched an advertising campaign to expand its market share. The…

CA Final · Advanced Auditing, Assurance and Professional Ethics · MTP · May 2026
EAT Ltd., a company engaged in the manufacturing of packaged food products, launched an advertising campaign to expand its market share. The campaign promoted its products as “100% natural and completely risk-free for daily consumption.” However, internal reports available with the company indicates that certain ingredients used in the products may pose health risks if consumed excessively. Despite this knowledge, the company neither discloses such potential adverse effects on the product packaging nor in its advertisements. Which of the following BRSR principles is primarily violated in the above case?
(A) Principle 1 “Ethics, Transparency and Accountability”.
(B) Principle 6 “Protection and Restoration of Environment".
(C) Principle 4 “Respect for Stakeholders' Interests and Responsiveness”.
(D) Principle 9 “Provide Value to the Consumers in a Responsible Manner”.

Suggested Answer and Working Notes:

Correct Answer: Option (D)

Principle 9 “Provide Value to the Consumers in a Responsible Manner”.

Topics: Professional Ethics & Liabilities of Auditors

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