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Review of Accounting Ethics - Acc 557

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The battle between the good and the bad plays an important role in anyone’s life. Some struggle with the two because doing bad is rewarding in the beginning. However, instant gratification can be short lived especially when the results can be detrimental to oneself and or others. Choosing knowingly to be unethical in today’s society can affect one personally and have an effect on their work. Working professionals represent their company in and out of the workplace; thus a vast number of companies teach their employees the difference between being ethical and unethical. Given the corporate ethical breaches in recent times I believe that current business and regulatory environment is more conducive to ethical behavior. Ethical behavior depicts the culture of the organization which keeps and draws employees as well as future and long term benefits.
“Ideally, codes of conduct affect the organizational culture by governing the actions and conduct of employees through the promotion of ethical business practices, thereby avoiding legal consequences. Further, as tangible commitments to social responsibility, adopting codes of conduct may lead to reputational benefits by functioning as a symbol of corporate social responsibility (CSR) awareness and engagement, thereby preserving and legitimating the company’s public image (Diller, 1999; Matten, 2003)” (Erwin, 2011, p. 536).
Ethics is one of the building blocks to the company’s accounting (Kimmel, 2012, p. 7) as it is the rules of behavior on ideas about what is morally good and bad (Merriam-Webster, 2014) within the business industry and amongst other industries when reporting the financials. With the passing of the Sarbanes-Oxley Act, ethical behavior is designed to be favorable as its creation is to downgrade unethical corporate behavior and scandal as upper management now has a greater responsibility in…...

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