Relationship between Ethical Climate, Social Responsibility and Earnings Management

One of the main factors for shaping social responsibility and profit management is the auditorchr('39')s ethical intention. Ethical behavior can lead to different behaviors by managers about earnings management.The present study aims to investigate and analyze the relationship between ethical athmosphere, social responsibility and earnings management.

The research method used in this research is descriptive-survey method of applied type and correlation. The statistical population of the study is the heads of accounting, financial managers and financial and economic deputies of companies listed on the Tehran Stock Exchange and the statistical sample size used in the present study through the Morgan table is 196 people in 2016 and is proportional by stratified sampling. The research tool is a standard questionnaire taken from previous research. Also, hypotheses were tested using correlation methods and regression models using Spss software and structural equation modeling.

Findings show that selfish, compassionate and systematic ethical athmosphere have a direct and significant relationship with accountantschr('39') supporting of ethical climate and social responsibility. On the other hand, ethical judgments of the accountants has significant relationship with earnings management and ethical behaviors.

These results emphasize the importance of the organizationchr('39')s ethical climate in advancing the goals of social responsibility programs by accountants, and accountantschr('39') judgments about earnings management are directly related to their ethical intentions.