¶ … unethical accounting practices and behavior. Unethical behavior occurs when there is a combination of motive and opportunity, along with a lack of integrity.
Situations that contribute to ethical lapses in accounting occur because of the very nature of accounting fraud being a white collar, non-violent crime. Accounting provides an opportunity to "cook the books" and exercise one's greed without pointing a gun or breaking into someone's house. Accounting crimes are tempting because nobody seems to be getting hurt (Xaxx, 2011).
There are people, who under other circumstances would never seek out a crime to commit, will submit to the temptation to commit accounting crimes just because the opportunity presents itself. Accounting often deals with large sums of money, some of which may be easily hidden, siphoned off, or removed with little likelihood of detection. Some people find this amount of temptation hard to resist, especially if they see themselves as being in financial need (Xaxx, 2011).
Likewise some corporate cultures can promote a sense of hubris and entitlement so that when accounting irregularities occur that benefit the business or individual, unethical conduct may seem normal to someone who has lost touch with the ethics and standards that exist outside the company (Xaxx, 2011).
Castellano, Rosenzweig, and Roehm (2004) argue that the widespread management practice of managing by objectives...
Unethical Accounting Behavior Our hypothetical situation is a company that sells housing units in a resort community. We will call the company, Jones, Inc. Jones Inc. uses techniques to sell as many units as possible in a given fiscal period, financing almost all, regardless of whether the client is credit worthy or not. The sales force receives a bonus from the real estate conglomerate for selling a certain number of units,
Other reasons may be institutional -- a harried employee may cover up mistakes, for fear of losing a job or a client in a pressured situation. or, an employee may be asked use unethical accounting practices to cover up business losses, ostensibly to protect shareholders and employees with a vested interest in the company's success. An accountant may feel pressured by a client not to use generally accepted ethical accounting
unethical practices and behavior in Accounting. Review the effect of the Sarbanes-Oxley Act of 2002 on financial statements. Identify situations that might lead to unethical practices and behavior in Accounting The company may distort its accounts in order to make its situation more attractive to current and prospective investors. It may distort its accounts believing that economic conditions will be more promising in the future or equivocating one account with another. Other
Accounting System Implemented at Chic Paints Limited Report submitted in order to fulfil the requirements of AAT Accounting Qualification Internal Controls and Fraud Accounting System Review Weaknesses in the Existing System and Recommendations Cost and Benefit Analysis Mapping of report to outcomes and criteria The purpose of this report is to present the findings of the evaluation of existing accounting system implemented at Chic Paints Limited. Chic Paints Limited hired me as an Accounting Technician of
Accounting Ethics Ethics of Accounting There have been breaches in the ethics of accounting in recent times. With that in mind, evaluate whether or not the current trend in the regulation of business establishments is favorable to ethical behavior. Supply supportive evidence to your answers (Jeter, 2003). The generally accepted principles of accounting and the standards of auditing in contemporary practice stipulate that the financial statements of any establishment should contain the following
Unethical Behavior Memo Attention: Management This memorandum is in response to recent inquires made concerning the suspected continuance of unethical practices within the company. As you are undoubtedly aware, unethical behavior can be extremely detrimental to a company's future. It makes performance exceedingly difficult to measure, and it can cause various crucial entities within a company to malfunction, thus effectively crippling the firm's ability to operate and meet the needs of clients
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