Investigating the Effect of Reasoned Action Theory on the Incidence of Fraud in Financial Reporting

The purpose of this study was to investigate the effect of Reasoned Action theory on the tendency to fraud in financial reporting. Reasoned Action theory addresses the measurement of ethical goals and the perception of individual behavior. It also consists of two dimensions of Subjective norm and attitude. The study is an applied-type survey. The survey was also conducted through a questionnaire and a sampling from 107 professional practitioners in the field of accounting and related trends in 2017. To analyze the findings in the form of two main hypotheses, structural equation method was used by Smart PLS software. Findings showed that there is a positive and significant relationship between attitude, Subjective norm and the tendency to financial reporting fraud. Also, using the findings, it can be concluded that Reasoned Action theory is effective in investigating the tendency to fraud in financial reporting. In addition, it is necessary to carefully examine the cases of fraud in financial reporting, and in particular the individual and psychological factors affecting it.