According to Croxford » Failure of ethical accounting continued to occur in multinational companies despite strengthening legislation, improving corporate governance programs business and greater attention to business ethics by the academic community. .” (Croxford, 2010) According to his research, (Croxford, 2010) believed that “accounting professionals were discriminated against based on their age, culture, gender and education”. Multinational companies have been facing ethical breach scandals for many years. For example: one of the biggest financial scandals was the Enron scandal. According to (Cohen, Pant and Sharp, 1993) “the mergers and international development of the big six accounting firms have created new classes of problems for their management”. (Cohen, Pant, & Sharp, 1993) There is a great need for multinational accounting firms to specifically consider the impact of international cultural diversity on employee ethical compassion and decision-making. According to researchers (Cohen, Pant and Sharp, 1993), “the impact of different cultures also reinforces the need for intensive use of expatriate management training by accounting firms”. (Cohen, Pant and Sharp, 1993) When managers are properly trained, the decision-making process will improve company profits. In this article, we will review research on how multinational executive compensation should incorporate more control over their corporate governance and programs, better performance of audits and quality controls, and ethical decisions in multinational countries. Gaps in the literature showed weak signs of management engagement with respect to business ethics. The research findings show that agency theory has been the main basis for ethical conflicts faced by multinational accounting firms. Accounting horizons 7.3. Croxford, J. (2010). Determinants of ethical decision. A study of accountants in multinational corporations. Kaal, W. (2012). Conditional capital in executive compensation. Washington and Lee Law Review 69.4, 1821-1889. Low, M., Davey, H. and Hooper, KP (2008). Accounting scandals, ethical dilemmas and educational challenges. Critical Perspectives on Accounting, suppl. Learning Chinese19.2, 222-254. Richard, R. and Li, J. (nd). Corporate governance and national culture. A multi-country study. Richter, M., Thompson, M., & Richter, A. (1998). Using cultural principles to resolve the international compensation paradox. ACA Journal 7.2, 28-37. Sundgren, S. and Svanstrom, T. (2013). Audit office size, audit quality and audit pricing. Accounting and business research 43.1 .