Nobody downloaded yet

Accounting Ethics Can Make the Difference Reasons why Morals are Key Components - Research Paper Example

Comments (0) Cite this document
Summary
In the article of the New York Times, Claudia Parsons cites Steve Priest, president of Ethical Leadership Group, who eloquently sums up what can be justly called as modern crisis of accounting ethics: “Investors don’t trust the companies they’re investing in…
Download full paperFile format: .doc, available for editing
GRAB THE BEST PAPER99% of users find it useful
Accounting Ethics Can Make the Difference Reasons why Morals are Key Components
Read TextPreview

Extract of sample "Accounting Ethics Can Make the Difference Reasons why Morals are Key Components"

Download file to see previous pages They don’t trust the financial statements, they don’t trust the audits, they don’t trust the bond rating agencies.” Indeed, contemporary profession of accountancy has been continuously wrestling with how to improve ethics in the profession. In the wake of prominent accounting scandals such as Enron, WorldCom, Tyco, and Arthur Andersen, the accounting profession in general and accounting ethics in the main has received both public’s and regulator’s glare. In 2002 the U.S. Congress responded to this dilemma with enactment of The Sarbanes-Oxley Act. However, when it seemed the regulatory field for adherence to accounting standards and ethics had been prepared, the world witnessed yet another crisis of accounting ethics triggered by unnoticed 50 billion Ponzi scheme invented and managed by Bernard Madoff for almost twenty years. Because the accounting profession is the gatekeeper of the financial affairs of the business community, it must strive to cultivate and maintain ethical standards and principles that must not be compromised. Ethical sensitivity is paramount in conducting business honorably and fairly. Business communities around the globe hold accountants in high esteem and expect them to be beyond reproach, ethically.
The primary existing paradigm related to accounting ethics is based on the premise that individuals make ethical choices because of individual integrity. This may be partially true; however, ethical or unethical accounting practices usually reflect the values, attitudes, beliefs, and behavior patterns of the organizational culture (True & Pelton, 2005). Early ethical and moral theorists have gone to great lengths to understand human behaviors and to define what behaviors constitute good morals. Some people believe that morality is contingent on environmental and situational circumstances. Dawson (2005) asserted that the character traits defining the ethical nature of the business are embedded in the social values of its culture. Dawson (2005) also believed that businesses with a strong rational and bureaucratic culture, such as financial institutions, have difficulty promoting individual ethical behavior beyond the rules in the absence of a compensating culture of social values such as trust and honesty. Businesses that thrive on the quality of human relationships internally and externally have more opportunity for building such a culture to promote ethical behavior. Those businesses with high employee turnover and a higher percentage of part-time/casual workers with low intrinsic valuation of work have difficulty sustaining a work ethic conductive to ethical behavior. Thus, ethical behavior is as much an organizational issue as it is a personal issue. Further, in some instances, ethical behavior is learned behavior that is based on formal educational instruction and personal experiences/modeling. According to position formed by Duska and Duska (2005), "accountants have a number of ethical responsibilities, to themselves, their families, and their profession as well as to the clients and company for which they work" (p. 30). Practically, most of accounting crises occurred in past primarily due to CEOs not adhering to the rules and regulations of the accounting practices as well as the U.S. Security Exchange Commission requirements.
According to Healy-Burress (2010), "a professional code of conduct explicitly states the expectations of behavior and character for the members of the profession" (p.57). Therefore, a professional code of ethics that is followed by participants represents a defining feature of a profession, and the major document which formulates the ethical conduct of accounting ...Download file to see next pagesRead More
Cite this document
  • APA
  • MLA
  • CHICAGO
(“Accounting Ethics Can Make the Difference Reasons why Morals are Key Research Paper”, n.d.)
Accounting Ethics Can Make the Difference Reasons why Morals are Key Research Paper. Retrieved from https://studentshare.org/miscellaneous/1517541-accounting-ethics-can-make-the-difference-reasons-why-morals-are-key-components
(Accounting Ethics Can Make the Difference Reasons Why Morals Are Key Research Paper)
Accounting Ethics Can Make the Difference Reasons Why Morals Are Key Research Paper. https://studentshare.org/miscellaneous/1517541-accounting-ethics-can-make-the-difference-reasons-why-morals-are-key-components.
“Accounting Ethics Can Make the Difference Reasons Why Morals Are Key Research Paper”, n.d. https://studentshare.org/miscellaneous/1517541-accounting-ethics-can-make-the-difference-reasons-why-morals-are-key-components.
  • Cited: 0 times
Comments (0)
Click to create a comment or rate a document

CHECK THESE SAMPLES OF Accounting Ethics Can Make the Difference Reasons why Morals are Key Components

The Difference Between Morals and Ethics

...? The Difference between Morals and Ethics (Add (Add (Add The Difference between Morals and Ethics Although the differences between the terms ‘Ethics’ and ‘Moralscan be somewhat illogical to many, there exists an indispensable distinction between these two. Moral attributes a personal character while ethics focus on a social system in which morals are applied. The moral codes of a person usually remain stable, while the ethics he practices can be other-dependent. The...
4 Pages(1000 words)Essay

Ethics and Morals

...? College Both Arendt and Nietzsche are interested in locating morality in the world and not “behind” the world. Compare and contrast their reasons as to why they think that morality should be found in the world and not in a transcendental concept. What are the benefits and disadvantages of locating morality in the world instead of behind it? Morality is a philosophic discipline that entails standards and principles which evaluate the conduct of an individual in regards to his or her actions. It focuses on how bad or good ones conduct is. It is regarded by society, religion culture and family setting. On the other hand,...
6 Pages(1500 words)Essay

Ethics, Morals, and Criminals

.... Individuals could also learn ethical norms starting from their own homes and then can capitalize on what they encounter in schools, churches, and eventually in the various social settings they could participate in. This means that individuals will start to make themselves familiar with what is right and wrong starting from their childhood. On the other hand, moral development could be a lifetime process where individuals could enrich their moral values as they go through various developmental stages of growth. The outcome of going through such experience is that each individual is capable of developing his or her own way of interpreting and applying the...
6 Pages(1500 words)Research Paper

Morals and Ethics in Organisations

...proper ethics in business. Further complications are found in the hierarchical structure of businesses, the availability of corporate deniability and the tendency for corporation members to conform to established behaviour. Even if we could establish a flawless definition for ethical behaviour, and create a useful method for measurement, some way to harmonize business needs and ethical needs would have to be developed, and the rules would have to be agreed upon by all those in power. Perhaps the most practical method for encouraging ethical behaviour by organizations would be to make everything transparent. It was posed that the ,”The social...
3 Pages(750 words)Essay

Make a Difference Paper

...The success of any project can be ensured with the full support and participations of all stakeholders involved. In this case the roles of the parents, the school, the children, the community, and the local governments are crucial. To accomplish the objectives of the project, the following strategies would be employed: Organizing the stakeholders The first step involved in the process is consolidation of efforts and zeroing in into common objectives. These can be achieved by organizing the major stakeholders of the project. Group decision making is a key component to the functioning of an organization, because organizational performance involves more...
2 Pages(500 words)Essay

Morals and Ethics

..., in the mud. The elephant had proved himself dangerous and his owner, the only person who could control him, was not in the vicinity. Given the officer's profession and its associate responsibilities and duties, shooting and killing the elephant was ethical insofar as it meant terminating the danger which this beast represented to the defenseless. While it may have been an ethical act, the shooting of the elephant was not a moral one. There are several reasons why his action was immoral. In the first place, the officer did not shoot the beast because he represented a danger at that time but, because the crowd expected him to. In the second place,...
3 Pages(750 words)Essay

Morals vs. Ethics

...Morals vs. Ethics Both ethical and moral constructs coming to the rescue of the environmental talk is significant from the onset of such discussions.The reason for the same lies in the fact that environment has a huge role in the lives of the people and hence following the activities and processes in a very moral and ethical fashion would indeed be the best case scenario. The environmental decision making must always be judged from the light of the ethical domains since there is a great deal of understanding which can be derived. The people could be given options which...
2 Pages(500 words)Essay

Ethics, values, and morals

...people is not a source of one’s enjoyment. 2. Is Rand criticizing ideal or reciprocal altruism? Do you think that she would differentiate between the two? Would you? Rand did not differentiate altruism whether it is ideal or reciprocal. For Rand, altruism by itself makes the doer suffer the consequence of lack of self-esteem and lack of respect for others. To quote Rand on this, she elaborated that “Many well-meaning, reasonable men do not know how to identify or conceptualize the moral principles that motivate their love, affection or good will, and can find no guidance in the field of ethics, which is dominated by the stale platitudes of...
4 Pages(1000 words)Essay

Anonymity: Morals, Ethics, Responsibilities

...(Erdely 1). According to the contributors, the acquisition of certain personalities empowers an individual by giving them the freedom to express their true selves. It is vital to note that anonymity is dependent on two entities, the actor and the group that interacts with the actor. Currently, anonymity has negative connotations because of its known effects and negative occurrences. The four contributors differ in the fact that anonymity can be used as a medium of communication. They agree on the fact that a number of factors influence individuals during ethical decision-making. These include factors such as moral judgment, awareness and intentions, in...
7 Pages(1750 words)Essay

Ethics and morals

...Ethics and Morals Ethics and Morals Kathleen Knight argues that aesthetic experiences should be used in educational ethics to enhance the students’ moral perceptions and problem-solving. Additionally, she argues that professional ethics pedagogy should make use of aesthetic experiences and inquiry. Such inquiry and experience are essential to helping students engage in imaginative, creative, and critical searches into moral situations. They are also necessary for the students to get into moral thinking that focusses on social and cultural contexts, which define their...
2 Pages(500 words)Essay
sponsored ads
We use cookies to create the best experience for you. Keep on browsing if you are OK with that, or find out how to manage cookies.

Let us find you another Research Paper on topic Accounting Ethics Can Make the Difference Reasons why Morals are Key Components for FREE!

Contact Us