THE RELATIONSHIP OF INDIVIDUAL MORALITY AND AUDITOR PERCEPTIONS OF FRAUD TENDENCY: TESTING OF THE FRAUD PENTAGON THEORY APPROACH

This study aims to examine the tendency of fraud perception external auditors triggered by five components pentagon fraud: pressure, opportunity, arrogance, rationalization,and competence. In addition, morality individual is placed as an intervention variable for this relationship. a quantitative with survey at BPK in Jakarta. The model research framework was developed investigate role interference. findings suggest that pentagons theory are not fully proven be triggers auditors. Arrogance, rationalization, and competence have positive effect on tendencies, while pressure opportunity negative impact tendencies. Then shown negatively morality, arrogance positively morality. 5 (five) variables theory, namely competence, prevent tendency. can explained because first context behavior environment government auditors, so results cannot compared previous studies used proxies financial statements predictors fraud.