Ethical code of conduct among accountants: the impact of moral intensity

Purpose This study aims to assess how accountants evaluate the moral intensity of an ethical situation and how it influences their compliance with the ethical code of conduct (ECC). Design/methodology/approach Primary data were collected from 289 accountants with a scenario-based, self-completed questionnaire containing Jones’ (1991) moral intensity components and three scenarios on integrity, objectivity and independence. Harman’s single-factor test, Pearson correlation and hierarchical regression were used to analyse the data. Findings The results revealed that accountants who compromise integrity, objectivity and independence are in the minority, and their assessment of the moral intensity of ECC is average. Also, the results revealed that each component of moral intensity positively associates with ECC, suggesting that accountants with a sound assessment of the moral intensity of an ethical situation will comply with the principles of integrity, objectivity and independence. Research limitations/implications The data used in this study were obtained from a single developing African country with weak and compromised government institutions. Future research will benefit from a cross-country study involving multiple developing countries, which would provide all-inclusive results. Practical implications The study shows that moral intensity is an important psychological factor that should be considered in establishing measures to improve accountants’ ethical competence. Originality/value This study provides a rare insight into how accountants evaluate the moral imperative of ECC and its effect on their compliance with integrity, objectivity and independence within a developing country’s context. The evidence will benchmark future research in other developing countries.