Importance of Ethics for Practicing Accountants in Kolkata

Ethics is that part of thing which leads a concern steady growth with a strong foundation of the concern. A large number of companies have faced financial failure including insolvency due to massive failures in ethics, corporate governance and compliance. These causes are fraudulent financial reporting, lack of transparency and preferring short-term profits over ethical conduct leading to fines, legal reflections and collapse. The objectives of the study are1. To have a general understanding of the ethical accounting procedures that are common among the practicing accountants in Kolkata. 2. To conduct a survey on respondents' perceptions of ethical accounting practices in the study area. A simple random sampling technique were employed to collect data from 1521 respondents practicing accountants from Kolkata.To find out the important factors liable for unethical practices Exploratory Factor Analysis is used andConfirmatory Factor Analysis (CFA) is used to evaluate the factor structure and guarantee its statistical soundness. This study concludes that six different factors that have a significant impact on respondents' perceptions of ethical behavior. These include On-the-job Training & Ethical Decision Making, Competence & Training, Objectivity & Confidentiality, Own Interests & Skills, Responsibility & Literacy, Focus & Value-driven. The results show that the most important factors influencing ethical behavior are training—both in the classroom and on the job—and ongoing skill improvement. Well-designed ethical training programs and competence-building activities promote ethical decision-making, as respondents repeatedly noted. This implies that organizations and institutions need to give ethics-focused professional development top priority. Both the first goal of mapping present activities and the second goal of analyzing perceptions are met by such practices.