Ethical Thoughts in Accounting and Their Effects

Research Journal of Finance and Accounting www.iiste.
org
ISSN 2222-1697 (Paper) ISSN 2222-2847 (Online) DOI: 10.7176/RJFA
Vol.10, No.6, 2019
Ethical Thoughts in Accounting And Their Effects On Accounting

Practice
William Smart Inyang1* John Ogenyi Oboh2 Rex Tobechukwu Nwabuikem3
1. Department of Accounting, University of Calabar, P.M.B. 1115, Calabar, Cross River State, Nigeria.
* E-mail of the corresponding author: [email protected]
ABSTRACT
This study examined the effect of ethical thoughts in accounting on accounting practice in Nigeria. To achieve
this objective, data were collected from primary sources through a well-structured questionnaire of four sections
of twenty questions administered to a sample of one hundred and sixty one (161) out of which one hundred and
forty eight (148) were completed and returned. The questionnaires were administered to the registered members
of the ICAN District Society in Calabar, Nigeria and data generated from the questionnaires were analysed using
IBM SPSS V.20. The results revealed a significantly negative relationship between ethical thoughts and the
accounting practices of corporate organizations in Nigeria. On the basis of the findings, the study recommended
the following among others: Professional accountants as custodians and producers of accounting information
should adhere to the codes of professional best practices issued by relevant professional bodies. Each
organization in Nigeria should establish ethics departments to ensure that activities are in line with the codes of
ethics, including the financial reporting process. The composition of the Board of Directors and Audit
Committees should be made up of people with corporate experience, proven integrity and financial expertise.
Greater efforts should be made by the relevant professional bodies to review their various ethical codes guiding
members’ conduct or behaviour in practice and widespread enlightenment coupled with stiffer penalties for
professional misconduct could also be a way out.
Keywords: Integrity, objectivity, professional behaviour, professional competence and due care and accounting
practice.
DOI: 10.7176/RJFA/10-6-16
Publication date:March 31st 2019
1. Background of the study
Recently, the plethora moral bloopers and corporate financial scandals have brought to light the imperative
nature of the topic. This has led to corporate organisations adopting ethical codes and applying measures to
strengthen ethical, legal and social safeguards. Although the issue of corporate scandals is not new, the increase
in its occurrence during the early 2000s was rather alarming.
Ethics in the accounting profession was for long associated only with accounting scholars, investors and
accounting bodies around the world. The general notion to this is the public perception that organizations should
strive towards ethical transparency. The concept of ethics simply deals with how decisions affect other people
and organizations. Yet, one of the unique features of most recognized trades and vocations including the highly
regulated accounting profession is the existence of code of ethics which are the criteria of global best practices.
The society evaluates the performance of professionals on the basis of both moral and technical codes.
Adherence to these codes by the practitioners of the profession improves confidence in the work of the
professional by shareholders who depends on the auditor’s opinion as a means of evaluating the integrity of
financial statements.
The recurrent corporate failures and financial statement fraud in recent times has staggered public trust in
the profession from various stakeholders, leading to increased demand for ethics within the profession.
Inevitably the inherent risks in the business environment, the potential for business failure, or the possibility
of human error cannot be totally eliminated, the principle of professional ethics requires professional accountant
to conduct themselves honestly, and in accordance with applicable professional standards.
Traditionally, the key feature of a profession is anchored on the grant of a special franchise by society who
expects the practitioners of that profession to accept responsibility to provide a degree of regulation and
enforcement through expert advice and persuasion thus, relieving the society of the burden of providing that
control by other means (Mautz, 1988). A profession is distinguished by the general belief in its ability to deliver
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unique, specialized and restricted services to the public and the development of an internal rules aim at guiding,
directing and regulating members’ professional conduct.
The current business environment has put professional services firms at crossroads. The values of
individuals, and the integrity of the organizations they belong to, are being tested.
Generally, accounting ethical practices revolves round the principles of objectivity, integrity, confidentiality,
professional behaviour, competence and due care. Failure on the part of the practicing accountants or auditors to
exhibit due care and diligence in carrying out their responsibilities and lack of integrity impinges on the
credibility of the accountancy profession. It has been argued that the role they play in similar exercises is
unethical, for example, accountants give advice on mergers but fails to consider the implication of the exercise
on employees.
In spite of the important roles played by ethical thoughts in the accounting profession, these researchers
have not come across any study that has specifically disclosed how the application of integrity, objectivity,
professional behaviour and professional competence/due care affect the accounting practices of corporate
organizations in Nigeria. The purpose of this research is to establish the kind of relationship that exists between
the foregoing ethical principles and accounting practices in Nigeria. How are the accounting practices of
corporate organisations in Nigeria influenced by ethics of integrity, ethics of objectivity, ethics of professional
behaviour and ethics of professional competence/due care? This research is therefore, anchored on the argument
that the application of ethics of integrity, ethics of objectivity, ethics of professional behaviour and ethics of
professional competence/due care has not significantly improved the accounting practices of corporate
organizations in Nigeria.
2. Statement of the research problem
Ethics is about morality, and acting in a way that is morally justified. This singular factor has its footprint in
every field including the accounting profession. Ethical thoughts with regards to the accounting profession refer
to qualities such as Integrity, Confidentiality, Professional Competence and Due Care, Objectivity and
Professional Behaviour. These values or principles are of general acceptance within the profession and therefore,
accountants have a duty to act in the public interest and due to the probable conflict of interest between
management and shareholders (owners of the company); accountants in practice are expected to be one of the
most ethical practitioners as they both on one hand prepare and on the other give assurance to these accounts.
Quite unfortunately, negligence in the accounting profession comes with its costs therefore individuals and
firms alike bear the consequences when faulted. This refers to the likes of Lever Brothers PLC and Cadbury
Nigeria who overstated their earnings through window dressing of accounts. Moreover the recent Skye bank now
Polaris bank the then previously acquired Mainstreet bank limited case is an indicator that despite the rush to
adopt measures that restrict openings which could lead to corporate scandals or failures, these things still occur
involving the input of accountants.
Skye bank resulted as a merger of five banks and in no time emerged as one of the eight systematically
important banks (SIB) captioned as too big to fail. Its downfall started with Mainstreet bank’s acquisition where
an asset valued at a book value of N1.2billion and recognised at N5.5billion in arriving at the purchase
consideration was found to be actually under a lease arrangement of which Mainstreet bank had recorded it as a
freehold building. They ended up paying rentals for what they previously thought they had title to. Also,
Mainstreet banks’ acquisition was through a process which the law under CAMA section 159 (2b) frowns at. In
which the law clearly prohibits a firm from aiding its intending parent in funding the acquisition. Skye bank
played a fast game by acquiring Mainstreet bank on October 30th, just a few days ahead of the transaction closing
date of November 3rd, through funds borrowed from four banks amounting to N100 billion which was the
remaining of the N126 billion purchase consideration ahead of the soon arriving redemption date of MBL
AMCON bonds with which it then used in paying back the loans (The rise, the fall and the bridge, 2018).
The study therefore attempts to reveal the behavioural quality of accountants and their management
collaborators who have both authored and endorsed the accounts contained in the financial statements presented
by the organization. Of which such financial statements cannot be reliable if the behavioural accountability of
those behind them are questionable. Therefore, the study is set to examine how ethical thoughts influence
accounting practice in Nigeria. How have these ethical thoughts influenced the accounting practices of corporate
organizations in Nigeria?
3. Objectives of the study
The broad objective of the study is to examine the effect of ethical thoughts in accounting on accounting
practices in Nigeria. The specific objectives are to:
1. Examine the extent at which ethics of integrity influences accounting practice.
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2. Examine the extent at which ethics of objectivity influences accounting practice.
3. Examine the extent at which ethics of professional behaviour influences accounting practice.
4. Examine the extent at which ethics of professional competence and due care influences accounting practice.
5. To make recommendations based on the findings of this research.
4. Research questions
The research questions for the study are as follows:

1. To what extent does the ethic of integrity influence accounting practice?
2. To what extent does the ethic of objectivity influence accounting practice?
3. To what extent does the ethic of professional behaviour influence accounting practice?
4. To what extent does the ethics of professional competence and due care influence accounting practice?
5. Research hypotheses
The following hypotheses were formulated for the study;

H01: There is no significant relationship between ethics of integrity and accounting practice.
H02: There is no significant relationship between ethics of objectivity and accounting practice.
H03: There is no significant relationship between ethics of professional behaviour and accounting practice.
H04: There is no significant relationship between ethics of professional competence and due care and accounting
practice.
6. Scope of the research area
This research study revolves round the effect of good ethical values on accounting practices as far as
accounting firms and services industries are concerned in Nigeria. The activities of the accounting professional
bodies were put also into consideration. However, the research was limited to accounting professionals, audit
and accounting firms operating in Cross River State.
7. Significance of the study
Ethics are of immense importance to the accounting profession. Ethics are the principles and values used by
an individual to govern his or her actions and decisions. The significance of this study is multi-faceted. At first it
will help in identifying the essence of ethical principles on the accounting practice which will increase the public
trust and credibility accorded to audited financial statements without much scepticism about the objectivity of
the auditor in performing his duties. The study also is important to developing countries such as Nigeria with
high rates of corruption and recurrent corporate malpractices as it will help narrow down the options to curtail
such from subsequent occurrence.
This study will also be significant to financial analysts, investors, public accountants and the general public
as the integrity of the prepared statements will give no rise for fraud or material misstatements that are liable to
give a false impression or appearance to the stakeholders. It goes as far as preventing unethical practices such as
earnings management and windowed dressing of accounts.
It will therefore equally be of immense help to organizations in the financial reporting aspect gendering on
professional competence and due care where the expertise of the professional is expected to play out in handling
complex situations and ensuring that all his decisions and actions are sustained within the ethical boundaries
governing the profession. Finally this research will be significant to persons within the academic environment
and also independent researchers as it will serve as a reference point also for future studies on this subject.
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8. Operational definition of terms
8.1 Ethical Thoughts: Ethical thoughts are Integrity, Objectivity, Professional behaviour and Professional
competence and due care
8.2 Integrity: This can be defined as the number of unqualified reports issued on financial statements in relation
to the qualified reports.
8.3 Objectivity: This can be defined as the existence and compliance to the dictates of internal ethics council or
units within an organisation.
8.4 Professional Behaviour: This can be defined as the extent of consciousness, awareness and adherence to
statutory regulations governing the accounting profession for example CAMA 2018 (as amended), IFRS and
ISA including their disclosure requirements.
8.5 Professional Competence and due care: This is the frequency at which an auditor accurately and precisely
detects errors in a financial statement.
8.6 Ethical Accounting: Ethical accounting is the frequency at which financial statements are found to be true
and fair, devoid of error and generated wholly in view of public interest.
8.7 Accounting Practice: Accounting practice is defined in this study as the absence or non-occurrence of
corporate frauds or scandals.
8.8 Accounting Practitioner: A person who has the requisite skill and experience in establishing and
maintaining accurate financial records for an individual or business having passed certain examinations and
met all other statutory and licencing requirements.
9. Theoretical Framework
There are many theoretical frameworks for this study but, we intend to restrict ourselves to the agency
theory and the theory of imperative principle. This is because most of the empirical studies that will be reviewed
in this work have disclosed the pursuance of self-interest and the positive effect of due process which are all
present in agency theory and imperative principle respectively.
9.1 Agency theory: Agency theory was developed by Jensen and Meckling (1976) who defined the agency
relationship as a form of contract between a company’s owners and its managers, where the owners appoint an
agent (the managers) to manage the company on their behalf. As a part of this arrangement, the owners must
delegate decision-making authority to the management. The owners expect the agents to act in the best interests
of the owners. Ideally, the ‘contract’ between the owners and the managers should ensure that the managers
always act in the best interests of the shareholders. There is an agency relationship when actions of one
individual affect both his welfare and that of another person; it can be an implicit or explicit contracted
relationship. In an agency relationship, if both parties’ interests are actualized, there is a good reason to believe
that the agent acts in the interest of the principal. In this study, the professional accountant and management of
the organization including the various stakeholders are the agents while the shareholders constitute the principal.
This dual ethical structure of the accountant having to report to the management as an employee and also fulfil
his professional duties in bearing the public interest at heart based on the nature of his qualification and the
regulations surrounding it, however makes it impossible to arrange a perfect contract and agency conflict will
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surface because management may have desires which regulations guiding the accounting profession in Nigeria
may prohibit the agent from indulging in such.
9.2 The imperative principle

This principle suggests a decision maker acts according to the requirements of an ethical rule. Some forms
of imperative ethics maintain that a decision should be made without trying to predict whether an action will
probably create the greatest balance of good over evil. Ethics in the imperative sense are a function of moral
rules and principles and do not factor in a circumstance-specific calculation of consequences. The philosopher
Immanuel Kant (1724-1804) was one the foremost supporter of the imperative school. Kant was unwilling to
rely only on decision makers’ natural dispositions and values for decisions in various circumstances. He strongly
preferred rules without exceptions to the varied and frequently inconsistent choice of individuals (Robertson and
Louwers, 2002). He maintained that reason and the strict duty to be consistent governed the formulation of his
first law of conduct. One of Kant’s rules is ‘live up to all your professional duties not to knowingly misrepresent
facts’. Another is the duty to ‘Be loyal to your employer’. However, conflicts of rules and duties may create
difficult problems because adherence to one means breaking the other
Most professional codes of ethics have features of the imperative type of theory. However, society
frequently questions not only conduct itself but the rules on which conduct is based. Therefore, an opinionated
imperative approach to ethical decisions may not be entirely adequate for the maintenance of professional
standards. Society may question the rules, and conflicts among them are always possible. The increasing gap in
audit expectation gap is point for consideration. Since the Kantian imperative theory does not provide an easy
way to decision making, someone who is rule bound may find himself or herself in a dilemma.
10. Empirical Review of Literature
Many empirical studies have also found support for the agency theory which discloses that individuals pursue
their self-interests when they are entrusted with resources and responsibilities. The society’s propensity for
materialism is the root cause of unethical conducts in public sector and financial institutions in Nigeria. Most
professional accountants believe that the position of an accountant is the position of wealth. In order to achieve
their selfish interest, they abuse their professional code of ethics, particularly when they have the opportunity to
exercise professional judgment (Frenchman 1998 and Nwagboso 2008). It is therefore, no news to say that the
entire globe is witnessing serious erosion in ethical values. Even more honest persons as Pastors, Imams, and
other religious people, may find it difficult to act in an ethical manner in some situations. Professional
accountants face some challenges that make them behave unethically. Anyone familiar with the perennial
distress in the Nigerian banking industry knows that one main cause is the questionable and often illegal
wheeling and dealing not to mention outright fraud of many professional accountants who shamelessly
compromised the once “sacred” ethics to their profession. What can be said of banks, which were issued a clean
bill of health by professional accountants only to sink into distress and bankruptcy within a twinkle of an eye?
Was it possible that there were no signs of failure visible to the accountant? What about the case revealed by
Prof. Charles Soludo the former Governor of the Central Bank of Nigeria, that the financial statements of most
banks were misrepresentation of facts? Could it be that the accountants do not know the right thing to do? Far
from it. Yet another problem is the accountant’s involvement or the ever-increasing propensity to turn up on the
all sides of client’s activities. Some professional accountants not only audit their client’s books, but also help in
preparing such accounts and have also turned up in different advisory capabilities. These will not only jeopardize
the secured independence quality, but will also aggravate the already existing crises of confidence in the one
revered noble profession of accounting (Nigam, 2008).
The objective of any business is the maximization of profit in order to increase the company’s share price.
But increased competition in the business world has eroded the company’s objective. The pressure to succeed
therefore and remain at the top is responsible for the changes in contemporary business practices whereby
standards of behaviour expected from professionals are being abused (Aquaok & Life, 2010). This has caused
chief executive of companies to put pressure on professional accountants to manipulate accounting data through
rule bending and loophole seeking to paint a rosy picture of sinking organizations (window dressing). Since the
management accountant earns his income from the company (the employer), he has no choice other than to
abuse the ethical concepts of his noble profession. In the same vein, because the auditor earns his fees from his
client, and may want to keep and maintain his client, he equally yield to his client’s request. Is this the right thing
to do? The professional code of conduct stipulates that the professional accountant should resign his appointment
or engagement when faced with such ethical dilemma. Donaldson (1996) identified pressure from employers and
clients as the most prevalent factor influencing the adoption of accounting ethics by professional accountants.
One may think that professional accountants will do the right thing, regardless of the amount of personal
sacrifice involved. But this is easier said than done. Frenchman (1998) suggested that in exhibiting ethical
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behaviour, professional accountants often come into conflict with their clients and or employers. This is because
what the client or employer wants the accountant to do may be against his professional code of conduct.
Knowing fully that resignation is the price that goes with his conflict of ethical conduct with his client and
employer, the accountant has no choice than to abuse ethical concepts and remain on his job. Professional
accountants in Nigeria are scared of losing their present jobs because of ethical conduct since they are not too
sure of getting any new job elsewhere. But in developed countries where the rate of unemployment is very low, a
professional accountant can resign from an employment or engagement that conflict with his professional code
of conduct, and have a new job or engagement in a short time. The price of losing his job makes professional
accountants in developing countries to exhibit unethical behaviour.
Every professional accountant comes from a particular society with diverse norms and standards. Cheng
(2012) opined that the kind of societal values acquired by the accountant at early childhood have more influence
on him than the professional code of conduct. Therefore, professional accountants allow their society values
(good or bad) to interfere with their professional judgment in financial reporting. For example, a study conducted
by Mamud (1999 as cited in Akenbor and Tennyson 2014) on “Career Choice” in the central district of Kano
revealed that parents prefer their wards to study accounting because they believe that accountants are wealthy
individuals. With this societal value built on the child, as he becomes a professional accountant he is bound to
violate the accounting ethics so as to become wealthy.
A professional accountant may suspect that activities in which he or she is asked to participate are unethical,
but had no complete information of the transactions. For example a chief accountant in a multinational oil
company in Port Harcourt was asked to process the paper works to reimburse the manager of international
operations for a $64,000 “communication expenditure” claimed in the manager expense account. The accountant
considers it improbable that the manager actually spent $64,000 in personal funds for the company. More likely
the accountant thinks the funds were paid as a bride to some foreign agencies. However, the accountant has no
facts concerning the expenditure, but, the top management wants the international operations’ manager
reimbursed. In most situations, accountants have neither the responsibility nor the right to investigate their
employers or clients. If a further investigation of the facts is not directly related to the accountant’s professional
responsibilities, the accountant simply may never have enough information to reach an informal decision as to
whether or not specific activities are “ethical” (Frenchman, 1998).
No code of ethics can address every situation that might arise. Every “ethical dilemma” borders upon the
unique, having its own facts and circumstances (Robert, 2005). In many situations, however the ethical course of
action is not readily apparent. Assume that a professional accountant is auditing the financial statements of a
company. During this audit, the company was acquired by another company. The chief executive of the acquired
company, is a brother to the accountant (auditors). Has the accountant’s independence been impaired with
respect to the company’s audit? Must the auditor resign from the engagement? This case is intended to show that
ethical dilemmas do not always have clear-cut answers. This case hinges upon personal judgment, including the
closeness of the relationship “between the accountant and the chief executive (brother)” and what impairs the
“appearance” of independence. Thus, even with all the facts in hand, experts are likely to disagree on the answer
to this case.
Codes of ethics, including the “official interpretations” typically do not address such specific questions.
Therefore, it’s often not possible to simply “lookup” the solution to an ethical problem. In deciding when an
ethical problem exists, and in determining what constitutes ethical behaviour, the practitioner must often rely
primarily upon his or her own professional judgment (Cheng, 2012).
In assessing the payoff of unethical behaviours of professional accountants, Robin (1989) affirmed that there
are no concrete and conclusive proofs that companies where accountants exhibit ethical behaviours are more
profitable. However Solomon (2002) reported that in the long-run ethical conduct has a positive effect on
profitability, even though in certain circumstances, particularly in the short-run, unethical practice yield greater
profits.
Other empirical studies conducted in Iran, Korea and Nigeria have also supported the theory of imperative
principle mentioned earlier. Mahdi and Mohsen (2011) carried out a study on the impact of professional ethics
on financial reporting quality in Iran. They employed a 24-item questionnaire and worked with a sample of 205
Iranian companies. The result of their findings showed that professional ethics have a significant impact on the
quality of financial reporting.
Masoud and Mahbude (2013) investigated the impact of professional ethics on financial reporting quality and
found that developing professional ethics in accounting will help promote financial reporting quality. Tae and
Jinhan (2011) examined the effect of business ethics on financial reporting quality using Korea firms. They
found out that companies with a higher level of ethical commitment are engaged in less earnings management,
report earnings more conservatively, and predict future cash flows more accurately than those with a lower level
of ethical commitment. We also find that corporate commitment to business ethics has perpetuating effects on
future financial reporting quality.
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Ogbonna and Appah (2011) investigated the effect of ethics on financial reporting quality in Nigeria using a
sample of 123 accountants. The study found out that ethical compliance by the accountant positively and
significantly affects the quality financial reports. Flugrath, Bennie and Chen (2007) conducted a study on ethics
and financial reporting quality using a sample of 112 professional accountants using primary data. The results
indicate that the presence of ethics has a positive impact on the quality of the judgement made by professional
accountants. Berrone, Suroca and Tribo (2005) carried out a study using 515 companies using OLS regression
analysis. Their study revealed that a strong corporate ethical identity was positively related to high levels of
stakeholder satisfaction. In turn stakeholder satisfaction had a positive influence on the financial performance of
the firm.
The general ethical codes include confidentiality, integrity, transparency, accountability, competence, loyalty,
honesty, anonymity, impartiality, courtesy and respect, neutrality and such other codes. Citing classical evidence
in Nigeria, Sanusi (2010) notes that, financial institutions made public the information on their operations on a
highly selective and biased basis and investors were unable to make informed decisions on the quality of their
earnings, the strength of their balance sheets or the risks in their businesses. Without accurate information,
investors made ill-advised decisions regarding stocks, enticed by a speculative market bubble which was
allegedly partly fuelled by the banks through the practice of margin lending. Some banks even engaged in
manipulating their books by colluding with other banks to artificially enhance financial positions and therefore
stock prices. Practices such as converting non-performing loans into commercial papers and bank acceptances
and setting up off-balance sheet special purpose vehicles to hide losses were prevalent. Recently the CBN put an
end to these practices and the collapse of the equity markets effectively put an end to alleged stock price
manipulation.
According to Egwuonwu (2007), there is a long list of corporate casualties across international divides on
account of behavioural misalignments or diminished behavioural governance and accountability. In Nigeria
alone 54 banks have either failed or forced to close and Cadbury Nigeria Plc. who overstated their earnings
through the cooking of accounts and were appropriately sanctioned by the Security and Exchange Commission
(SEC).Consequently, following these questionable accounting practices witnessed in the operations of these
entities, the reputation and ethical values of the accounting Professional seems elusive. Although, accounting
regulatory bodies intend that financial statements should be useful to a wide range of users. The preparers of
those financial statements act as intermediaries between the regulators and the multiplicity of end users of the
statements. They therefore occupy a powerful position as interpreters of the regulations, and, given the
complexity of the business world, it is hard to see how some degree of ethical inconsistency can be avoided.
According to Amat and Gwothrope (2004), financial statements provide information that is used by interested
parties to assess the performance of managers and to make economic decisions. Users may assume that the
financial information they receive is reliable and fit for its purpose. Thus, accounting regulation attempts to
ensure that information is produced on a consistent basis in accordance with a set of rules that make it reliable
for users.
11. Method
The data used for this study were purely primary data. According to Mugenda (2003), Target Population is
the specific population by which information is derived. The population of this study is the registered members
of ICAN District Society in Calabar who may be part of the accounting unit of their various institutions, firms or
who offer consultancy services. Stratified sampling involves the division of a population into smaller groups
known as strata. The study employed stratified and simple random sampling techniques to develop the sample
components. The goal of stratified random sampling is to achieve desired representation from various sub groups
in the population. Due to large size of the target population, the researcher, 269 participants were accessible.
Taro Yamane formula was used to arrive at the population sample of this study.
In carrying out this study, a total of one hundred and sixty one (161) copies of questionnaires were
administered out of which 148 were filled and returned. The analysis was therefore based on the total of one
hundred and forty eight (148) copies of valid questionnaire collected from registered members of the ICAN
District Society in Calabar. A survey research design was adopted for the study. The study covered the staff of
selected accounting firms within the Calabar metropolis and other accounting practitioners within Calabar.
Where n = sample size, N = Population and e = level of significance or error limit. Substituting the accessible
population size of 269 and level of significance of 0.05 into the formula above, we have:
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= 269
= 269
= 269
= 269
11.1 Validity and Reliability of Instrument: The questionnaires’ validity was provided through adequate coverage
of the topic under investigation through the expert advice. A pre-test and post-test were carried out to test
the reliability of the primary data collected for the study.
11.2 Model Specification: The relationship between these indices is shown by the model below:
ACCTP = β0 + β1EINTG + β2EOBJ + β3EPROFB + β4EPROFC + e

Where
ACCTP = Accounting Practice
EINTG = Ethics of Integrity
EOBJ = Ethics of Objectivity
EPROFB = Ethics of Professional Behaviour
EPROFC = Ethics of Professional Competence
e = Error term
β0 = Intercept
β = Coefficient
β0, β1, β2, β3 ,β4 > 0
11.3 Method of Data Analysis: The data obtained for the study will be analysed using Multiple Regression
Technique, this technique will show the relationship between the independent variables and the dependent
variable thus providing a basis for hypotheses testing.
12. RESULTS
The presentation, analysis and interpretation of the data collected for this research work are indicated below.
It highlights both the mathematical and statistical techniques adopted in testing the research hypothesis of the
study which sought to investigate the effect of ethical thoughts in accounting on accounting practice.
Normality test was carried out to check if data were normal. This was done using skewness and kurtosis.
According to Hair et al (2010), data is normal when the Z-statistic for skewness and kurtosis when calculated is
less than or equal to +2.58. Z- skewness or Z-kurtosis value is obtained by dividing the statistics by the standard
error as shown in the descriptive statistics on Table …. Below. Hence from the table, data for the study is normal
since the Z-skewness or Z-kurtosis value were less than + 2.58.
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Table 1
For instance:
Skewness Z-statistic -0.394
0.199 = -1.98
Kurtosis Z-statistic -0.894

0.396 = -1.11
12.1 Linearity: Linearity was assessed using the correlation analysis as shown in Table 4.4 below. From the
result on the table, all the variables have a moderate and positive relationship with each other. Hence linearity is
established. Also, from the regression table, tolerance and VIF showed that there was no problem of multi-
colinearity.
Table 2
12.1 Multi-colinearity
Multi co-linearity is the condition in which one or more independent variables can be expressed as a
linear combination of other independent variables. This test is used to determine whether the correlation between
the independent variables. If there is a correlation then there is a problem called multi- colineraity. To detect the
multi co-linearity, we use variance inflation factor (VIF) and tolerance for each independent variable. The limit
value of tolerance and VIF limit is 10’ (Ghozali, 2006: 92).
The calculation result output co-efficient VIF shows that all independent variables have a value of VIF
more than 0.1 and VIF value of each variable is not more than 10. It can be concluded that, there is no multi co-
linearity between the independent variables in this study.
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12.2 Test of Multi co-linearity

Table 3
Model Collinearity Statistics
Tolerance VIF
(Constant)
EINTG .827 1.209
1
EOBJ .537 1.863
EPROFC .616 1.623
EPROFB .973 1.027
12.3 Reliability Analysis
Test retest was used to ascertain the reliability of the instrument. Test Retest reliability measures test
consistency. This is the reliability of a test measured over time. In other words, give the same test twice to the
same people at different times to see if the scores are the same. The pre-test and post-test were issued within a
month interval. The results are shown in table 4.
The Pearson correlation coefficients and p-value were;
ACCTP: 0.713 and 0.000
EINTG: 0.768 and 0.000
EOBJ: 0.947 and 0.000
EPROFB: 0.937 and 0.000
EPROFC: 0.982 and 0.000
This indicates the evidence of test-retest reliability.
Table 4
12.4 Regression analysis
Multiple regression technique was adopted to examine the relationship amongst the variables. Table
shows the regression result.
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Table 5
From the above table, the regression line can be depicted as;
ACCTP = 24.808 - 0.207EINTG - 0.579EOBJ - 0179EPROFB - 0.206EPROFC + e
Where:
ACCTP – Accounting Practice
EINTG - Ethics of Integrity
EOBJ - Ethics of Objectivity
EPROFB - Ethics of Professional Behaviour
EPROFC - Ethics of Professional Competence
+e - Standard Sample Error
24.808 represents the slope of the regression line, that is, when all explanatory variables (EINTG,
EOBJ, EPROFB and EPROFC) are held constant, all things being equal, ACCTP is subject to vary by 24.808.
-0.207EINTG represents the co-efficient of EINTG which is negative, indicating that it has a negative
direct relationship with ACCTP. This depicts that a percentage increase in EINTG, results in a 20.7 percent
decrease in ACCTP. Likewise, when there is a percentage decrease in EINTG, it will result in a 20.7 percent
increase in ACCTP.
The -0.579EOBJ represents the co-efficient of EOBJ which is negative, indicating a negative
relationship with ACCTP. This depicts that a percentage increase in EOBJ will result to a 57.9 percent decrease
in ACCTP. Likewise, when there is a percentage decrease in EOBJ, it will result in a 57.9 percent increase in
ACCTP.
The -0.179EPROFB represents the co-efficient of EPROFB which is negative, indicating a negative
relationship with ACCTP. This depicts that a percentage increase in EPROFB will result to a 17.9 percent
decrease in ACCTP. However, when there is a percentage decrease in EPROFB, it will result in a 17.9 percent
increase in ACCTP.
The -0.206EPROFC represents the co-efficient of EPROFC which is negative, indicating a negative
relationship with ACCTP. This depicts that a percentage increase in EPROFC will result to a 20.6 percent
decrease in ACCTP. Likewise, a percentage decrease in EPROFC will in turn result to a 20.6 percent increase in
ACCTP.
+e – represent the standard sample error which depicts that there are many other explanatory variables
that influences ACCTP that were not captured in the regression line. In addition, the co-linearity test was carried
out and tolerance value for all independent variables was less than one (1). Also, their VIF is less than 10.
The multiple correlation co-efficient (R) is 0.819. This indicates that there is a strong relationship
amongst the variables under study.
The co-efficient of determination (R2) shows to what extent the independent variables are able to explain the
variation in the dependent variable. The co-efficient of determination (R2) is 0.671
R2= 0.671 x 100%
= 67.1%
This depicts that the independent variables (EINTG, EOBJ, EPROFB and EPROFC) capture 67.1
percent of the total variation (100 percent) in the dependent variable (ACCTP). In other words, the independent
variables (EINTG, EOBJ, EPROFB and EPROFC) explained 67.1 percent out of 100 percent variation that
occurred in the dependent variable (ACCTP).
The remaining percent (i.e 32.9 percent) represents the unexplained percentage and accounts for other
independent variables that were not in the multiple regression line (model).
In addition to the co-efficient of determination in the Adjusted R2 and Durbin Watson, the Adjusted R2 shows
that if an independent variable with the least co-efficient (Say EPROFB with -0.179 co-efficient) is dropped
from the regression line, the remaining independent variables EINTG, EOBJ and EPROFC can still explain the
variation in ACCTP (dependent variable) to an extent of 66.1 percent.
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Based on the results of testing against the values obtained, using Durbin Watson Statistics (1.959), we
can conclude that there is no auto – correlation. The table below shows the aforementioned:
Table 6
In addition to the above, a test on statistical significance of the overall variable in the model was carried
out. This is shown on the table
Table 7
From the ANOVA table, the significant value (0.000) is less than 0.05; hence, the explained variables
(EINTG, EOBJ, EPROFB and EPROFC) in the model predict the ACCTP. This also means that the data is a
good fit for the study.
12.5 Test of hypotheses
There is a need to test for the significance of the independent variables (EINTG, EOBJ, EPROFB and EPROFC)
and the dependent variable (ACCTP). In doing this, a 5% level of significance was adopted.
12.5.1 Hypothesis One:
H0: There is no significant relationship between ethics of integrity and accounting practice.
H1: There is a significant relationship between ethics of integrity and accounting practice.
From the table the significant value EINTG (0.001) is less than 0.05, hence the null hypothesis is rejected and
the alternative hypothesis is accepted. We can now conclude that ethics of integrity has a significant relationship
with accounting practice.
12.5.2 Hypothesis Two:
H0: There is no significant relationship between ethics of objectivity and accounting practice.
H1: There is a significant relationship between ethics of objectivity and accounting practice.
From the table the significant value EOBJ (0.00) is less than 0.05, hence the null hypothesis is rejected and the
alternative hypothesis is accepted. We can now conclude that ethics of integrity has a significant relationship
with accounting practice.
12.5.3 Hypothesis Three:
H0: There is no significant relationship between ethics of professional behaviour and accounting practice.
H1: There is a significant relationship between ethics of professional behaviour and accounting practice.
From the table the significant value EPROFB (0.005) is less than to 0.05, hence the null hypothesis is rejected
and the alternative hypothesis is accepted. We can now conclude that ethics of professional behaviour has a
significant relationship with accounting practice.
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12.5.4 Hypothesis Four:

H0: There is no significant relationship between ethics of professional competence and accounting practice.
H1: There is a significant relationship between ethics of professional competence and accounting practice.
From the table the significant value EPROFC (0.001) is less than to 0.05, hence the null hypothesis is rejected
and the alternative hypothesis is accepted. We can now conclude that ethic of professional competence and due
care has a significant relationship with accounting practice.
13. Discussion of findings
13.1 Ethics of integrity and accounting practice: The findings from the regression result indicated that the ethics
of integrity has a negative relationship with accounting practice. Further test carried to test for the
significance of this relationship and findings revealed that ethics of integrity has a significant relationship
with accounting practice. This implies that when professional accountants imbibe the ethics of integrity, it
will lead to an efficient and effective accounting practice which detects and minimizes fraud and error when
they occur.
13.2 Ethics of objectivity and accounting practice: The findings from the regression result indicated that ethics
of objectivity has a negative relationship with accounting practice. Further test carried to test for the
significance of this relationship and findings revealed that the ethics of objectivity has a significant
relationship with accounting practice. This is an indicator that if professional accountants are more objective
in the discharge of their duties, it will result to a better, more efficient and effective accounting practice that
is without undue preference to neither party of the management or its stakeholders.
13.3 Ethics of confidentiality and accounting practice: The findings from the regression result indicated that the
ethics of professional behaviour has a negative relationship with accounting practice. Further test carried to
test for the significance of this relationship and findings revealed that the ethics of professional behaviour
has a significant relationship with accounting practice. This means that faithful adherence to the ethics of
professional behaviour within acceptable bounds under the law will result in better accounting practice.
13.4 Ethics of professional competence and accounting practice: The findings from the regression result
indicated that the ethics of professional competence and due care has a negative relationship with
accounting practice. Further test carried to test for the significance of this relationship and findings revealed
that the ethics of professional competence and due care has a significant relationship with accounting
practice. This means that faithful compliance to the ethics of professional competence and due care in
keeping with the recent developments within the accounting profession will positively impact accounting
practice and boost performance with regards to expert services and consultancy.
14. Contribution to knowledge
This study has added to the existing body of knowledge in three ways: (1) Disclosure of the societal believe
in Nigeria that becoming wealthy is the sole objective of taking up a career in accountancy. (2) The high level of
unemployment in Nigeria being the reason why professional accountants cannot resign when their employers or
clients want them to act contrary to their professional code of conduct and. (3) It is unthinkable and unlikely that
the professional accountant will always do the right thing regardless of the amount of personal sacrifice
involved.
15. Summary of Findings and Conclusion
Ethics of Integrity, ethics of objectivity, ethics of professional behaviour and ethics of professional
competence/due care all have negative relationships with accounting practice and these relationships were
significant at the alpha level of .05 (i.e. 95% of being true). The meaning of these negative relationships is that as
the application of ethical thoughts increases, non-occurrence of corporate frauds or scandals (accounting
practice) decreases (i.e. corporate frauds or scandals still occur). This finding or discovery is therefore, in
support of the argument or thesis statement of this research. The information requirements and environments
under which financial reporting is made is both very complex and challenging. It is complex to the extent that
there is the likelihood that a conflict of interest might arise due to the multiplicity of end users of accounting
information. Consequently, the continuum of interested parties; Management, shareholders, creditors, employees
amongst others puts the financial statement and its preparers in a complex environment. Our emphasis on the
role of accounting practice in restoring systemic confidence in financial estimates is borne out of the fact that the
statutory roles of the accounting professional either as a company staff, internal auditor or external auditor,
positions the accountant as an interface between the reports of corporate entities and the confidence of users of
such information.
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16. Recommendations and Direction for Future Research
Based on the findings of this study, the following are recommended:

Board of Directors and Audit Committees should be made up of people with corporate experience, proven
integrity and financial expertise. Corporate Affairs Commission (CAC), the Securities and Exchange
Commission (SEC), the Central Bank of Nigeria (CBN) and other relevant federal regulatory agencies should
ensure the enforcement of their various rules, ethical codes and codes of corporate governance as applicable to
company directors. There should be an upward review of fines imposed by CAMA 2004 for breach of fiduciary
duty by directors.
Auditors must adhere to the fundamentals of professional code of conduct such as integrity, objectivity and
independence, due care and public interest.
Each organization in Nigeria should establish ethics departments to ensure that activities are in line with the
codes of ethics applicable to the financial reporting process.
Professional accountants who are custodians and producers of accounting information should adhere to the
codes of professional best practices issued by relevant professional bodies.
Greater efforts should be made by the relevant professional bodies to review their various ethical codes
guiding members’ conduct or behaviour in practice. Widespread enlightenment coupled with stiffer penalties for
professional misconduct could also be a way out.
The study should also be extended to the effect of ethics of client’s confidentiality on accounting practice.
Acknowledgements
We acknowledge the assistance of some key members of the Institute of Chartered Accountants of Nigeria
(ICAN) District Society, Calabar Chapter. They provided useful information and research materials.
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SECTION A: BIO DATA

1. Sex: Male [ ] Female [ ]
2. Age: Below 25 years [ ] Between 26 and 35 years [ ] Between 36 and
45 years [ ] 46 and above [ ]

3. Educational Qualification: WAEC/GCE/NECO [ ] OND/NCE [ ]
HND/B.SC [ ] M.SC/MBA/PHD [ ]
4. Professional Qualification: CNA/ACA [ ] FCCA/FCA [ ] Others [ ]
5. Working Experience: 1-5 [ ] 6-10 [ ] 11-15 [ ] 16 and above [ ]
6. Designation: Financial Accountant [ ] Management Accountant [ ]
Tax Accountant [ ] Auditor [ ]

SECTION B
Below are a list of statements that may ascertain your assessment on the effect of ethical thoughts in accounting
and its effect on accounting practice. Kindly indicate to what extent you agree or disagree with the statement
using the following;
SA Strongly Agree
A Agree
UD Undecided
D Disagree
SD Strongly Disagree
Accounting Practice SA A UD D SD
My organisation requests’ employees to record purchases or expenditure or sales
1
that never occurred
My organization requests employees to produce misleading projected figures to
2
obtain additional finance or loan.
3 My organisation rrequests employees to manipulate tax returns
My organization requests employees to produce figures to mislead shareholders,
4
e.g. participation in the production of false and misleading financial statements;
Integrity SA A UD D SD
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Professional Competence and Due care SA A UD D SD

In my opinion, the level of expertise an accountant possesses determines the
17
quality of service provided.
18 In my experience, exercising due care positively influences accounting practice.
19 Negligence by the accounting practitioner bears its consequence.

I believe that staying up to date with recent developments within the profession
20
is of use to ethical accounting practice.
In my firm adherence to high ethical standards helps boost the integrity of
5
In my firm acceptance of gift items by professional accountants affects the
6
integrity of an audit.
In my opinion the value system of professional accountants affects the
7
presentation of financial statement.
In my organisation ethical standards are duly observed in the presentation of
8
financial statement of Nigerian firms.
Objectivity SA A UD D SD
In my firm the objective presentation of financial statements is affected by
9
ethical values prevalent in an organization
In my firm the existence of an ethical committee in an organization positively
10
influences financial report integrity.
In my opinion financial statements should be prepared and presented in
11
accordance with ethical guidelines within the organization
In my firm professional accountants are always objective in the preparation of
12
Professional Behaviour SA A UD D SD
In my organisation adherence to statutory regulations governing the profession
13
improves accounting practice.
Indulging in prohibited acts or services negatively affects general perception on
14
the credibility of accounting products such as financial statements.
In my opinion, law abiding professional accountants will clearly disclose
15
financial transactions in line with statutory requirements.
I believe that the ethics of professional behaviour positively influences
16
accounting practice.
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Descriptive
Descriptive Statistics
N Minimum Maximum Mean Std. Deviation Skewness
Statistic Statistic Statistic Statistic Statistic Statistic Std. Error
ACCTP 148 2.00 8.00 5.7635 1.25281 -.384 .199
EINTG 148 15 20 16.42 1.050 .521 .199
EOBJ 148 15 20 16.30 1.193 .511 .199
EPROFB 148 15 19 16.01 .979 .603 .199
EPROFC 148 12 19 16.18 1.278 .366 .199
Valid N (listwise) 148
Kurtosis
Statistic Std. Error
ACCTP -.894 .396
EINTG .217 .396
EOBJ -.544 .396
EPROFB -.515 .396
EPROFC -.203 .396
Valid N (listwise)
FREQUENCIES VARIABLES=SEX AGE EDUQ PROFQ WKEXP DESIG /STATISTICS=MEAN MEDIAN

MODE SKEWNESS SESKEW KURTOSIS SEKURT /ORDER=ANALYSIS.
Frequencies
Statistics
SEX AGE EDUQ PROFQ WKEXP DESIG
Valid 148 148 148 148 148 148
N
Missing 0 0 0 0 0 0
Mean 1.51 2.14 3.10 1.01 1.98 2.17
Median 2.00 2.00 3.00 1.00 2.00 2.00
Mode 2 2 3 1 2 1
Skewness -.055 .333 -.546 12.166 .638 .476
Std. Error of Skewness .199 .199 .199 .199 .199 .199
Kurtosis -2.025 -.536 .972 148.000 -.282 -1.472
Std. Error of Kurtosis .396 .396 .396 .396 .396 .396
Frequency Table
SEX
Frequency Percent Valid Percent Cumulative
Percent
1 72 48.6 48.6 48.6
Valid 2 76 51.4 51.4 100.0
Total 148 100.0 100.0
AGE
Percent
1 36 24.3 24.3 24.3
2 65 43.9 43.9 68.2
Valid 3 38 25.7 25.7 93.9
4 9 6.1 6.1 100.0
Total 148 100.0 100.0
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EDUQ
Percent
1 3 2.0 2.0 2.0
2 16 10.8 10.8 12.8
Valid 3 92 62.2 62.2 75.0
4 37 25.0 25.0 100.0
Total 148 100.0 100.0
PROFQ
Percent
1 147 99.3 99.3 99.3
Valid 3 1 .7 .7 100.0
Total 148 100.0 100.0
WKEXP
Percent
1 49 33.1 33.1 33.1
2 63 42.6 42.6 75.7
Valid 3 26 17.6 17.6 93.2
4 10 6.8 6.8 100.0
Total 148 100.0 100.0
DESING
Percent
1 68 45.9 45.9 45.9
2 26 17.6 17.6 63.5
Valid 3 15 10.1 10.1 73.6
4 39 26.4 26.4 100.0
Total 148 100.0 100.0
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Regression
Mean Std. Deviation N
ACCTP 5.7635 1.25281 148
EINTG 16.42 1.050 148
EOBJ 16.30 1.193 148
EPROFB 16.01 .979 148
EPROFC 16.18 1.278 148
Correlations
ACCTP EINTG EOBJ EPROFB EPROFC
ACCTP 1.000 -.457 -.775 -.254 -.610
EINTG -.457 1.000 .413 .024 .247
Pearson Correlation EOBJ -.775 .413 1.000 .155 .619
EPROFB -.254 .024 .155 1.000 .113
EPROFC -.610 .247 .619 .113 1.000
ACCTP . .000 .000 .001 .000
EINTG .000 . .000 .388 .001
Sig. (1-tailed) EOBJ .000 .000 . .030 .000
EPROFB .001 .388 .030 . .085
EPROFC .000 .001 .000 .085 .
ACCTP 148 148 148 148 148
EINTG 148 148 148 148 148
N EOBJ 148 148 148 148 148
EPROFB 148 148 148 148 148
EPROFC 148 148 148 148 148
Variables Entered/Removeda
Model Variables Variables Method
Entered Removed
EPROFC,
1 EPROFB, . Enter
EINTG, EOBJb
a. Dependent Variable: ACCTP

b. All requested variables entered.
Model Summaryb
Model R R Square Adjusted R Std. Error of the Change Statistics
Square Estimate R Square F Change df1
Change
1 .819a .671 .661 .72898 .671 72.793 4
Model Summaryb
Model Change Statistics Durbin-Watson
df2 Sig. F Change
a
1 143 .000 1.959
a. Predictors: (Constant), EPROFC, EPROFB, EINTG, EOBJ

b. Dependent Variable: ACCTP
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ANOVAa
Model Sum of Squares Df Mean Square F Sig.
Regression 154.731 4 38.683 72.793 .000b
1 Residual 75.992 143 .531
Total 230.723 147

b. Predictors: (Constant), EPROFC, EPROFB, EINTG, EOBJ
Coefficientsa
Model Unstandardized Coefficients Standardized t Sig. Collinearity
Coefficients Statistics
B Std. Error Beta Tolerance
(Constant) 24.808 1.419 17.482 .000
EINTG -.207 .063 -.174 -3.291 .001 .827
1 EOBJ -.579 .069 -.552 -8.421 .000 .537
EPROFB -.179 .062 -.140 -2.881 .005 .973
EPROFC -.206 .060 -.210 -3.434 .001 .616
Coefficientsa
Model Collinearity Statistics
VIF
(Constant)
EINTG 1.209
1 EOBJ 1.863
EPROFB 1.027
EPROFC 1.623

Residuals Statisticsa
Minimum Maximum Mean Std. N
Deviation
Predicted Value 2.3023 7.2366 5.7635 1.02596 148
Residual -1.85015 2.53135 .00000 .71899 148
Std. Predicted
-3.374 1.436 .000 1.000 148
Value
Std. Residual -2.538 3.472 .000 .986 148
b.
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RetestEPROFB
RetestEPROFC
RetestACCTP
RetestEINTG
RetestEOBJ
EPROFB
EPROFC
WKEXP
PROFQ
ACCTP
EINTG
DESIG
EDUQ
EOBJ
AGE
SEX
S/N
1 1 3 4 1 4 4 7 15 15 15 15 7 14 15 15 15
2 1 2 3 1 2 1 7 15 15 15 15 7 15 15 15 15
3 1 1 3 1 1 1 7 15 15 15 15 7 14 15 15 15
4 2 1 3 1 1 4 7 15 15 15 15 7 15 15 15 15
5 2 3 3 1 1 4 7 15 15 15 15 7 13 15 15 15
6 2 2 3 1 3 1 7 15 15 15 17 7 15 15 15 17
7 1 1 3 1 1 2 7 15 15 15 18 7 13 15 15 18
8 2 2 3 1 2 1 7 15 15 16 15 7 15 15 16 15
9 2 1 3 1 1 4 7 15 15 16 15 7 15 15 16 15
10 1 2 3 1 2 4 7 15 15 16 15 7 16 15 16 15
11 1 4 4 1 4 4 7 15 15 16 15 7 15 15 16 15
12 2 2 3 1 3 3 7 15 15 16 18 7 15 15 16 18
13 1 3 4 1 4 4 7 15 15 17 15 7 15 15 17 15
14 1 3 3 1 2 1 6 15 15 17 15 6 16 15 17 15
15 2 2 3 1 3 4 7 15 15 17 16 7 15 15 17 16
16 2 1 3 1 1 4 7 15 15 18 15 7 15 15 18 15
17 1 1 3 1 1 4 6 15 16 15 15 6 15 16 15 15
18 2 2 4 1 3 3 7 15 16 15 16 7 15 16 15 16
19 2 3 4 1 3 3 6 15 16 15 16 6 16 16 15 16
20 2 3 4 1 3 1 6 15 16 16 16 7 15 16 16 16
21 2 2 3 1 2 1 5 15 16 16 17 7 15 16 16 17
22 2 2 3 1 2 2 5 15 16 16 17 5 15 16 16 17
23 1 3 4 1 2 2 7 15 16 17 15 7 15 16 17 15
24 1 2 4 1 2 1 7 15 16 17 16 7 15 16 17 16
25 1 2 3 1 2 1 6 15 16 17 16 6 15 16 17 16
26 1 2 3 1 2 1 7 15 16 19 15 7 15 16 19 16
27 1 3 4 1 2 1 7 15 17 15 15 7 15 17 15 15
28 1 3 4 1 4 3 5 15 17 15 16 7 15 17 15 16
29 2 2 2 1 2 4 5 15 17 17 16 7 15 17 17 16
30 2 1 3 1 2 1 5 15 17 18 17 7 15 17 18 17
31 2 3 4 1 3 3 6 15 18 17 16 6 15 18 17 16
32 1 1 3 1 1 1 7 16 15 15 15 7 16 15 15 15
33 2 1 3 1 1 4 7 16 15 15 15 7 16 15 15 15
34 1 2 3 1 2 4 7 16 15 15 15 7 16 15 15 17
35 1 1 1 1 1 1 7 16 15 15 15 6 16 15 15 15
36 1 3 3 1 2 1 7 16 15 15 15 7 16 15 15 15
37 1 2 3 1 2 1 7 16 15 15 15 7 16 15 15 15
38 2 2 2 1 1 1 7 16 15 15 15 7 16 15 15 17
39 2 2 3 1 1 3 7 16 15 15 15 7 16 15 15 15
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40 2 3 4 1 3 1 7 16 15 15 17 6 16 15 15 17
41 1 2 4 1 3 1 5 16 15 15 17 6 16 15 15 17
42 1 1 3 1 2 1 7 16 15 15 19 7 16 15 15 19
43 1 2 3 1 2 2 7 16 15 16 15 7 16 15 16 15
44 2 4 3 1 4 4 7 16 15 16 15 7 16 15 16 15
45 1 1 3 1 1 1 7 16 15 16 15 7 15 15 16 15
46 2 2 3 1 3 1 7 16 15 16 15 7 15 15 16 15
47 1 3 3 1 3 2 7 16 15 16 15 6 15 15 16 15
48 1 1 3 1 1 2 5 16 15 16 15 7 15 15 16 15
49 2 1 3 1 1 1 7 16 15 17 15 7 15 15 17 15
50 1 3 4 1 3 1 6 16 15 17 15 6 15 15 17 15
51 2 3 4 1 2 1 7 16 15 17 15 7 15 15 17 15
52 1 3 3 1 3 1 7 16 15 17 15 7 15 15 17 15
53 2 2 3 1 1 4 7 16 15 17 16 7 15 15 17 16
54 2 2 3 1 2 1 6 16 16 15 15 6 15 16 15 15
55 1 2 3 1 2 2 6 16 16 15 17 7 16 16 15 17
56 1 3 3 1 2 4 7 16 16 16 16 7 16 16 16 16
57 2 1 3 1 1 2 5 16 17 15 16 5 16 17 15 16
58 1 1 3 1 2 2 5 16 17 15 17 7 16 17 15 17
59 2 2 2 1 2 4 5 16 17 15 17 5 16 17 15 17
60 1 2 3 1 2 1 5 16 17 15 17 5 16 17 15 17
61 2 3 2 1 2 4 4 16 17 15 18 7 16 17 15 18
62 2 2 4 1 2 2 5 16 17 16 18 5 16 17 16 18
63 2 2 3 1 2 1 5 16 17 17 15 5 16 17 17 15
64 2 4 4 1 4 2 5 16 17 17 15 7 16 17 17 15
65 2 2 3 1 2 1 5 16 17 17 16 5 16 17 17 16
66 1 1 3 1 1 4 6 16 17 17 17 6 16 17 17 17
67 2 2 2 1 2 1 4 16 17 17 17 7 16 17 17 17
68 1 3 3 1 2 1 7 16 17 17 18 7 16 17 17 18
69 2 2 3 1 3 4 5 16 17 17 18 5 16 17 17 18
70 2 2 3 1 2 2 4 16 17 17 18 7 16 17 17 18
71 1 2 3 1 1 1 4 16 17 18 17 7 16 17 18 17
72 2 3 3 1 2 4 4 16 17 18 18 7 16 17 18 18
73 2 2 3 1 1 3 5 16 17 18 19 5 16 17 18 19
74 1 2 4 1 2 4 7 16 18 15 18 7 16 18 15 18
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Ethical Thoughts in Accounting and Their Effects

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Research Journal of Finance and Accounting www.iiste.

Ethical Thoughts in Accounting And Their Effects On Accounting

1. Background of the study

2. Statement of the research problem

3. Objectives of the study

2. Examine the extent at which ethics of objectivity influences accounting practice.

5. To make recommendations based on the findings of this research.

The research questions for the study are as follows:

2. To what extent does the ethic of objectivity influence accounting practice?

The following hypotheses were formulated for the study;

6. Scope of the research area

7. Significance of the study

8. Operational definition of terms

competence and due care

to the qualified reports.

units within an organisation.

ISA including their disclosure requirements.

detects errors in a financial statement.

corporate frauds or scandals.

met all other statutory and licencing requirements.

9.2 The imperative principle

10. Empirical Review of Literature

the reliability of the primary data collected for the study.

ACCTP = β0 + β1EINTG + β2EOBJ + β3EPROFB + β4EPROFC + e

variable thus providing a basis for hypotheses testing.

Kurtosis Z-statistic -0.894

12.2 Test of Multi co-linearity

12.3 Reliability Analysis

12.4 Regression analysis

12.5 Test of hypotheses

12.5.4 Hypothesis Four:

13. Discussion of findings

14. Contribution to knowledge

15. Summary of Findings and Conclusion

16. Recommendations and Direction for Future Research

Based on the findings of this study, the following are recommended:

SECTION A: BIO DATA

2. Age: Below 25 years [ ] Between 26 and 35 years [ ] Between 36 and

45 years [ ] 46 and above [ ]

5. Working Experience: 1-5 [ ] 6-10 [ ] 11-15 [ ] 16 and above [ ]

6. Designation: Financial Accountant [ ] Management Accountant [ ]

Tax Accountant [ ] Auditor [ ]

Professional Competence and Due care SA A UD D SD

19 Negligence by the accounting practitioner bears its consequence.

FREQUENCIES VARIABLES=SEX AGE EDUQ PROFQ WKEXP DESIG /STATISTICS=MEAN MEDIAN

a. Dependent Variable: ACCTP

a. Predictors: (Constant), EPROFC, EPROFB, EINTG, EOBJ

a. Dependent Variable: ACCTP

a. Dependent Variable: ACCTP

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