Values, ethics, and attitudes (IES 4) and earnings management from the viewpoint of the financial accountants at Amman Stock Exchange

Abstract

Research Question: Does the effective focus on values, ethics, and attitudes will lead financial accountants to the real management of earnings? Motivation: The authors indicated that the market needs to develop a strategic plan for ethical learning by a committee of financial and academic experts to the formulation of the basic principles in ethics and attitudes to be adopted in profit management. Idea: The objective is to discuss the importance of Professional Ethics, focusing on international education standard IES 4, and its relationship with Earnings Management, a Jordanian study. Data: The study had one group of participants that consisted of financial accountants they work with listed the companies on the Amman stock exchange (ASE) and were randomly selected. Tools: The questionnaire was analyzed using descriptive statistics, ANOVA and correlation analysis. Findings: The results of the study, indicated that the rules of accounting ethics in accordance IES4 have a significant and positive impact on earnings management (EM), whether in which in the applying the ethical behaviour, excellence pursuit, professional manner and social responsibility. Contribution: This research paper is a value-addition to the literature of professional ethics education, at the findings of this paper are expected to be of high importance about ethics value for financial accountants in the emerging economies on how to comply with IES4, to help them on leads to real management of profits.