RESEARCH METHOD:

THE FLOW OF IDEAS IN THE PROBLEM

STATEMENT

B Y TA M A R A S Y V A P R AT I W I –
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TOPIC

Ethical behaviour to overcome issues in a

company
RESEARCH PROBLEM

Internal whistleblowing in facing a violations in

reporting financial statements: falsification of
financial statements
 JUSTIFICATION FOR RESEARCH PROBLEM

There’s so many cases happened to a company about violating accounting

standards in reporting a financial report. Accountants are required to make
and present a financial report to help stakeholders to make decisions and
design strategies for the sustainability of the company. However, at the same
time, the accountants also felt required to make a financial report that had
good value for the company so that their performance was undoubtedly in
controlling financial problems in the company. For example, is a case of
falsifying financial statements in a finance company, namely PT. Sunprima
Nusantara. Suspected, they made a fictitious financial report that made the
company suddenly go bankrupt because it experienced a change in the
company's debt rating which changed dramatically. There is still limited detail
study about how ethical behavior can overcome some issues like this.
Moreover, the previous study still using a more general variables, not the other
various ones. This problem will continue to occur if there is no ethical behavior
in financial management, one of which is internal whistleblowing actions.
DEFICIENCIES IN THE EVIDENCE
The deficiencies of the evidence is, there is still limited
detailed discussion about how internal whistleblowing can
be a tool to eradicate falsification or violation of standard
applications in reporting a financial report and can be a
positive ethical behavior to be embedded in management
to optimize implementation accounting standards for
reporting a financial statements. Moreover, the previous
study still using a more general variables, not the other
various ones for example like the education background of
the employees.
 RELATING THE DISCUSSION TO AUDIANCES

To explain the violation, how this violation will greatly harm

not only the company, but also the outside parties who deal
directly with the company.

Provide education to accountants to develop a better ethical

behavior, one of which is internal whistleblowing.

Helping corporate stakeholders to understand what problems

can occur in reporting financial statements in a company.