Ethical Sensitivity Issues among Certified Public Accountancy Firms in Ethiopia

Background and Justification: In different developing nations, managers, leaders and business owners are exposed to money corruption. The root cause of this corruption is unethical decisions made by Public Accountants. This paper focuses on identified areas of ethical dilemma and the most important demographic factors that affect the ethics of professional accountancy. Methodology: The research selected 317 certified public accountants as a sample based on probability sampling techniques. The study used demographic factors as an independent variable and ethical dilemma as a dependant variable. To test the statistical significance of each mean difference, the study used independent samples t test and One-way ANOVA parametric test. Result and suggestions: The finding of the study summarize that Presentation of the financial reports, audit time by tax auditors and tax-related matters are the three most difficult areas of professional conflict of interest that affect professional activities. Result showed demographic variables of gender, age, level of education and professional experiences were a mean significance variations in each group for exposing of ethical dilemma.