WroldCom---Financial Accounting

WorldCom: A Culture of Dishonesty Ethics is a term that refers to a code of moral system that provides criteria for evaluating right and wrong. An ethical dilemma is a situation in which an individual or group is faced with a decision that test this code. One of the elements that many believe distinguishes a profession from other occupations is acceptance by it members of a responsibility for the interest of those it serves. . Accounting ethics is a field of professional ethics which pertains specifically to accounting. For the public to rely on the information provided there must be a level of confidence in the knowledge and behavior of accountants. The nature of the accountants’ work puts them in a special position of trust in relation to their clients, employees, and people who rely on their professional judgment; ethics is viewed as necessary in the profession as it helps to minimize fraudulent activities. Ethics and standards in accounting were originally applied to protect the public from unscrupulous corporations and the accountants who hide or misrepresent information. However, following several large corporate scandals, the codes of conducts and standards for both public and private accountants have been revised.
Given the corporate ethical breaches in recent times, assess whether or not you believe that the current business and regulatory environment is more conducive to ethical behavior. Provide a rationale to support your answer.
In recent years, accounting ethical breaches has emerged as a major problem for most organizations and the business industry. Accounting ethical breaches can be defined as the misappropriation and misconduct of financial data by the auditors and accountants of an organization (Crutchley & Jensen, p.55). Every business entity has an accounting professional provide information at some point in the organization’s life cycle. Whether accountants work in the public or private practice, they are expected to adhere to ethical