Accounting Ethics of an Organization

The accounting practices improve the image of the organizations because it helps the organizations to make the effective relationship with the entire stakeholders such as general public, employees and customers. The same situation is also faced by the organization such as Olympus Corporation and the accounting ethical breach has also reduced the image of the organization between its entire stakeholders. For accomplishing the objectives of this assignment, the selected article is related to the federal bureau of investigation (FBI) over the accounting fraud at Olympus Corporation. On the other hand, this paper would also provide the answer of the some questions, which would help to develop understandings about the ethical behavior and related environment.

In the context of the accounting ethical work practices, it could be stated that the corporate ethical breaches were increased because of the less effective accounting practices. In the past, the less effective accounting environment has also increased the distance between the organizations and stakeholders (U.S. Attorney’s Office., 2013). But, the recent changes in the accounting practices for example GAAP, which forces the business organization to follow the ethical accounting practices, which helps the shareholders to know about the wealth of their organization, is going in the right direction or not (PricewaterhouseCoopers LLP., 2013). On the other hand, the regulatory environment is the main term, which is more conductive for the ethical behavior. It is because that the current business environment provides the guidance and assistance to the management people of the organizations by which they could be able to improve the image of the organization and also provides the chances to the organization for getting the profits from the market (Grover & Smith, 2012). Simultaneously, this kind of the environment enhances the capabilities and capacities of the organization by which they could be able to make the most...