Ethics in audit and creative accounting

In recent years, accounting and audit scandals have highlighted the issue of ethics in audit. Creative accounting practices related to ethics can be expressed as one type of fraudulent financial reporting. The emphasis is placed on professional skepticism and ethical principles in auditing standards. The aim of this study is to investigate the effect of professional skepticism, ethical sensitivities and ethics position of independent auditors on their ability to detect creative accounting practices. Data were collected by applying a questionnaire to 340 independent auditors. Validity and reliability analysis of the variables were performed in the study. Descriptive statistics of the variables were presented. In order to test hypotheses, path analysis, which is one of the statistical techniques included in the structural equation model, was used. As a result of the analyzes, it was understood that independent auditors in the sample in terms of professional skepticism generally have interpersonal understanding, questioning mind and in search for knowledge. In terms of ethics position, they were generally seen as idealists and relativists and it was found that independent auditors have an ethical sensitivity and the ability to detect creative accounting practices. In the light of the findings, it was observed that ethical sensitivity and idealism besides interpersonal understanding and questioning mind characteristics, which are the sub-dimensions of professional skepticism, have an significant effect on independent auditors ' ability to detect creative accounting practices.