ROLE OF ISLAMIC ETHICS TOWARDS ETHICAL ACCOUNTING PRACTICE

Authors

  • Ika Sari Wahyuni-TD Faculty of Industrial Management, Universiti Malaysia Pahang, Malaysia
  • Yudi Fernando Governance and Integrity Centre, Faculty of Industrial Management, Universiti Malaysia Pahang, Malaysia
  • Evi Hasnita STikes Fort De Kock,, Indonesia
  • Evi Hasnita STikes Fort De Kock,, Indonesia

DOI:

https://doi.org/10.15282/jgi.2.1.2018.5535

Keywords:

Islamic ethics, Ethical accounting, Integrity, Auditor, Shari'ah principles

Abstract

The objective of this paper is to understand the role of Islamic ethics and its application towards a more ethical accounting practice. This paper has reviewed the literature on Islamic ethics and ethical accounting practice and found that four critical domains of Islamic ethics such as 1) accounting education; 2) principle of Islamic ethics; 3) code of ethics for accountants and 4) application of Islamic ethics for accountants. This study concludes that an Islamic guideline for accountants is a driver of ethical behaviour to comply with Islamic principles. It is highly needed in the current turbulence business environment and competitors’ pressure. The Muslim accountant can use Islamic ethics as a reference to ensure the excellent audit work to comply with Shari’ah requirements and to provide the required information demanded by society such as by doing khayr (goodness), birr (righteousness), ‘adl (equilibrium and justice), trust (Amanah), benevolence (Ihsaan) and others. The understanding and application of Islamic ethics contribute to a more ethical accounting practice.

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Published

2018-10-16

How to Cite

Wahyuni-TD, I. S., Fernando, Y., Hasnita, E., & Hasnita, E. (2018). ROLE OF ISLAMIC ETHICS TOWARDS ETHICAL ACCOUNTING PRACTICE. Journal of Governance and Integrity, 2(1), 23–27. https://doi.org/10.15282/jgi.2.1.2018.5535

Issue

Section

JGI Vol. 2, Issue 1, December 2018