BUS707 T1 2019: A Structured Literature Review on Accounting Ethics

This literature review examines the role and importance of accounting ethics in business, drawing from four academic articles published from 2010 onwards. It summarizes the theoretical background, common themes, and differing findings across the selected articles, focusing on the impact of individual factors on ethical decision-making. The review also discusses managerial implications, study limitations, and future research directions proposed in the articles, highlighting the necessity of ethical standards in accounting for reliable financial information and stakeholder decision-making. The research emphasizes the need for ethics education and training to promote ethical behavior among business professionals and students. Desklib offers this document as a valuable resource, providing students with access to a wide range of study materials, including past papers and solved assignments.

Applied business research
5/12/2019

Research 1
Contents
Introduction......................................................................................................................................2
Brief summary of the theory............................................................................................................3
Common themes/findings in four articles........................................................................................4
Different themes/findings in four articles........................................................................................4
Managerial implication of four articles...........................................................................................5
Study limitations and future research direction proposed in four articles.......................................6
Conclusion.......................................................................................................................................8
References........................................................................................................................................9

Research 2
Introduction
The report is organized with the purpose to categorise the appropriate sources for the research in
order to carry out the review that is connected to the concepts. Review of literature is conducted
on research topic that is role of accounting ethics in business and important of it.

Research 3
Brief summary of the theory
In the view of Costa, Pinheiro and Ribeiro, 2016, book-keeping is an effective information
system that forms and converses the monetary as well as the non-financial information to the
diverse stakeholders. The topic shows that honesty as well as accuracy in the accounting are
considered as ethical as well as issues related to the financial elements. The research strengthen
that dynamic environment the scandals as well as the samples of the unethical behaviour has
enhanced the consideration of the scholars, professional as well as many others which helps in
making the ethical decision among the organisation. In the developing dynamic business
environment, the agreement on requirements of corresponding the social prosperity and
corporate profit is concern, as it will upsurge of introducing the entire business ethics majorly in
the high education curricula. The research by Tormo-Carbó, Seguí-Mas and Oltra, 2016, depicts
the enhancement of ethical behaviour for the upcoming business individuals and professions of
accounting.
Medeiros, Watts, Mulhearn, Steele, Mumford and Connelly, 2017 has raised the questions in the
research that include characteristics moderate the effectiveness related to the instruction of ethics
whose answers reflect that role of accounting ethics is integral part. Further, it is understood
from the study that ethics have education and training efforts has improved business by focusing
on the professional, focused, and training programs that are obligatory to carry the enhancement
and improvement in the ethics of business. Other side, Voss, 2017 research emphasised that the
issues related to the ethical conduct within the organisation are compulsory to be considered a
condition of an authentic responsibility related to the undertaken as well as the performed tasks
in their short as well as long-term effect.

Research 4
Common themes/findings in four articles
The ethical perception of accounting student is supported with the evaluation of influence by
some of different individual factors that create the impact on the ethical decision making of the
processes. In past years, it has been found that there is close joining with the several number of
the effective financial misconduct cases, debates by public on the business ethics and its growing
importance (Costa, Pinheiro and Ribeiro, 2016). In the studies, the ethical behaviour of the
upcoming corporate persons and accounting specialists importance is applied to the different
cases.
In the four articles, ethical morals in the accounting establish that is vital element in the
operational of economic entities also in reflecting the more trustworthy financial data used by all
the investors when it comes to the essential decisions. In the competitive environment, the
businesses are accountable to a variety of shareholders, collaborates as well the investors that
deserve to know the fact about the company finances.
Different themes/findings in four articles
In the four studies, different themes are offered by researcher that reviewed in this unit of the
article review: -
The article of Costa, Pinheiro and Ribeiro, 2016 represents that there are different factors like
gender, age, work experience and the presence of a course on moral principles that influence
insight of the students of Portuguese accounting. The Portuguese university has been considered
as the case that supports the findings which is different from remaining research. Agreeing to the
fact that different personal characteristics and factors might influence the student ethical

Research 5
decision-making processes. This will add the worth to the teachers; stakeholders and many
scholars are involved in these substances.
On the other hand, the Medeiros, Watts, Mulhearn, Steele, Mumford and Connelly, 2017
conducted Meta-Analysis Of Business Ethics Instruction, the research shows use of meta-
analytic actions in order to inspect the efficiency related to the present methods across the
organisational moral code training and the corporate developments of school. The results
propose that the specialized, focuses and the workshop-based training programs are majorly
operative for enhancing the corporate ethics, which is different from the findings of the other
researcher who talks about the perception of people.
In addition, the Tormo-Carbó, Seguí-Mas and Oltra, 2016 found that scholars who are studying
about the concepts of accounting show the overall observation of the corporate ethics majorly in
the unfavourable environment. The student presented their opinions on the significance as well
as objectives of the accounting ethics instruction in unfriendly environment that consist of
numerous factors that creates the impact.
Further, Voss, 2017 exhibits the idea of applying an account records that certificate that provide
the predication in their accuracy in legal as well as in the ethical aspects that are majorly
formulated. In outcome of the research reflects that the appropriate producer should facilitate the
ethical evaluation by persons responsible for the decision making process. This findings is entire
different from the findings of other but in the concern to the same research concern.

Research 6
Managerial implication of four articles
Managerial implication majorly consists of results that are mean in terms of the actions and it
compare all the outcomes to the actions and indicate about the actions that are required to take in
response. In the entire four articles, the discussion related to the role of accounting ethics in
business as well as significance is presented in different form of findings.
According to Costa, Pinheiro and Ribeiro, 2016, the author strongly agree with the fact
accounting ethics in business which is supported with the ethical perception of the student
present in Portuguese university and factors that influence the individual as well as the personal
traits. Similar to this, article of Tormo-Carbó, Seguí-Mas and Oltra, 2016, comprehends that
development of the ethical behaviour of the upcoming corporate people as well as accounting
experts specifically. The research strongly supported with the sample of 551 students of BBA
(Bachelor in business administration) at Spanish university reflects the integral of accounting
ethics has been examined.
Further, the study of Medeiros, Watts, Mulhearn, Steele, Mumford, and Connelly, 2017 reveals
the needs of the business ethics education as well as the trainings of organisational ethics that is
one of the motivational steps as it encourage the ethical behaviour of the business professional as
well as the students. Agreeing the research, Voss, 2017, strongly demonstrate that ethical
standards in the accounting constitute is very essential when it comes to the economic entities
that present reliable financial information that is used by all the stakeholders for making the
ethical correct decisions. Thus, this reflects training of organisational ethics of stakeholders leads
skills of making use of reliable financial information.

Research 7
Study limitations and future research direction proposed in four articles
 Costa, Pinheiro and Ribeiro, 2016, limitation of the research is extrapolation of the results
that occur due to the sample presented by the students was very small as it represents
only one institution of the high education. Further, ethical observation of respondents that
are majorly evaluated on the hypothetical dilemmas related to ethics. The research study
limitation shows that it is hard to say that individual responses correspond to the
behaviour at the present situation. In addition, while gathering the details from the
respondents they were given with the option to skip or say ‘I do not know’ that might
generate the impression on replies.
 The research of Medeiros, Watts, Mulhearn, Steele, Mumford and Connelly, 2017, has
limitation that it does not present the effort examine the organisational-level moderators
like culture, leadership, support and additional ethics interventions. In addition, many
morals training interferences determined in aspect of literature could not be presented in
research because of the lack of evaluation data.
 The study conducted by the Tormo-Carbó, Seguí-Mas and Oltra, 2016, is equipped with
the limitations like wildlife of the student, sample, drawn from the scholar business
students that are present in the Spanish university. Further, the research methodology
used for conducting the research is equipped with the social desirability bias.
 The study presented by Voss, 2017, reflects that there is lack of accurate and reliable
findings that are supported with the research conducted by the authors. The research has
been drawn on some assumptions that is considered as one of the limitation of company.

Research 8
Conclusion
In the end of the review, it can be said strongly that role of accounting ethics in business and
important of it in the dynamic business environment where the companies utilize it for activities
of business. The perception in the business behaviour in terms of the ethical accounting is
presented with support of different cases.

Research 9
References
Costa, A.J., Pinheiro, M.M. and Ribeiro, M.S. (2016) Ethical perceptions of accounting students
in a Portuguese university: The influence of individual factors and personal traits. Accounting
Education, 25(4), pp.327-348.
Medeiros, K.E., Watts, L.L., Mulhearn, T.J., Steele, L.M., Mumford, M.D. and Connelly, S.
(2017) What is working, what is not, and what we need to know: A meta-analytic review of
business ethics instruction. Journal of Academic Ethics, 15(3), pp.245-275.
Tormo-Carbó, G., Seguí-Mas, E. and Oltra, V. (2016) Accounting ethics in unfriendly
environments: The educational challenge. Journal of business ethics, 135(1), pp.161-175.
Voss, G. (2017) Certificate of Ethics in Accounting and Professional Independence of
Accountants. European Journal of Economics and Business Studies, 3(3), pp.212-220.