Audit Article Reviews Samples For Students

Accounting control system ensures accuracy and reliability of information required by management for decision making. Accuracy and reliability of information is a prerequisite for management especially when an organization start becoming complex. Reliability and accuracy of information depends on how well the information reflects the economic events which t is based on (ACC, 2014). The financial statements should reflect the fair view of the status of the organization. This means that they have to be accurate. This accuracy can be verified through audit function, accounting information system and the internal controls. A Board of Education is part the management in ...

Sarbanes-Oxley Act is an act by the United States congress in 2002 aim at protecting investors through corporate disclosures accuracy and reliability. It mandated strict reforms aimed at improving financial disclosures and possibly prevent accounting fraud. The scandals of early 2000s such as Tycoon, WorldCom and Enron predicated the enacted of SOX. These scandals shook investor confidence, and an overhaul of regulatory standards was required. The SOX Act outlined rules as well as enforcement policies, which amended or supplemented existing legislation. There are two key provisions of the 2002 Sarbanes-Oxley Act which are section 302 and section 404. Section ...

In any business, the major battleground is financial accounting, and there is no government or industry regulation that can prevent unethical ways that people use in dishonestly reporting given financial information (Duska, 2007). For example, there are certain accounting practices that are illegal like misinterpretation of figures and expenses on a company’s financial statement. However, some legal accounting practices are unethical (for example, influencing financial results by shifting expenses unjustifiably).
Arthur Andersen LLP is a good example of a company that violated accounting ethics. This accounting firm would have become one of the largest firms in the USA because it ...

Where Auditors Fear to Tread Article Review

In the article Where Auditors Fear to Tread, Paul M. Clikeman brings to light the issue of earnings management. Clikeman argues that earnings management should be classified in the same category as fraud because both earnings management and fraud have one thing in common: misrepresenting the organization’s financial performance. Clikeman goes further to allege that the flexibility within GAAP (General Accepted Accounting Principles) allows this subtle form of fraud to take place. He further asserts that this unethical practice is either ignored or even encouraged.
The article also gives some of the reasons as to why managers ...

Professional Skepticism means an approach towards accounting which includes a questioning mind and being in a position which questions a possibility of fraud, errors or misstatement and is a critical evaluation of audit evidence. It is essential for a quality audit. Professional skepticism is a skill which is very similar to professional judgment and helps in providing an opinion for an audit engagement. Professional skepticism helps in asking questions which make sure that any information provided is true. It is an approach which is similar to a judgment and auditors with professional skepticism tend to make good decisions as well as provide correct information on the ...

The article talks about the use of computers in auditing and fraud detection. It introduces a new term “Inductive Logic Programming” that is under development these days in order to detect fraud even before they occur. It relies on mathematics algorithms and programming to detect suspicious patterns and report the fraudulent activity before it occurs. For example, during bad weather, very few people leave their homes, and if during such time a card from that area is used, it will report it as a suspicious transaction. This is not new, currently many banks throughout the world use “Neutral Networks” in order to ...

Barry Minkow, founder of the ZZZZ Best carpet company perpetrated one of the most shocking frauds ever reported in the United States. More shocking, however, was the fact that a fraud of such magnitude happened under the watch of the Securities and Exchange Commission (SEK) as well as a well known accounting firm.
The fraud in question involved duping the public to invest in a company, ZZZZ best carpet company, in reliance on fraudulent financial statements. Minkow doctored the financial statements so that they could appear appealing thus enabling banks to extend credit facilities to him in pretext that he was ...

Introductory section

- Does this material define the primary government? The document has defined the primary government in which the city operates under as the council manger form with six members who are elected for a four year term.
- Does the introductory section discuss the government’s financial condition at the balance sheet date? The introduction briefly discusses the financial position of the government where it states that on a government wide basis, the city’s net assets grew by $19.6 million in that fiscal year which was generated by governmental activities it continues to state that the city’s combined ...

Introduction

Internal audit refers to an objective declaration and independent activity consultative in nature and which is designed to enrich the value and advance the daily operations of an organization. This helps a given organization to achieve its desired ends since it brings in a disciplined and systematic approach on how to approach, improve and evaluate efficiency of managing risks, governance and control processes. (Picket 81).

Internal audit catalyses improvement in an organizations’ efficiency and effectiveness by giving room for recommendations and insights which are normally inclined upon assessment of data, analyses of such data and the processes of conducting such business. ...

Abstract

This report highlights the procedure and intent of conducting Line Operation Safety Audit (LOSA) for airline companies. This audit is carried out to evaluate the strengths and weaknesses of safety management systems in airlines. In the light of its findings, airline management could clearly see the scope of improvement in complying with required safety standards and regulations. Flight crews could also judge their performance and improvise their skills to strengthen safety envelope. This report will briefly present the procedure and characteristics of LOSA.
The report covers all essential elements of LOSA. Firstly, introduction to LOSA is provided containing it's ...

Introduction

The Enron scandal of 2011 revealed that the Federal government’s accounting and auditing regulations of Fortune 500 firms were lax at best. The fact that one of the largest accounting and auditing firms at the time was an active participant in the scandal illustrated the need for additional industry oversight. Andersen was the accounting firm that was responsible for auditing Enron’s financial statements. The accounting firm failed to call out Enron on discrepancies and questionable accounting practices that overstated Enron’s earnings and understated its debt (Cross & Kunkel, 2012). This showed that generally accepted accounting practices or ...

Chapter 2 – Organization

Five Flavors of Alignment
Alignment for a company in its simplest terms will mean streamlining its present business and being operationally prepared for implementing any future changes in its products and services. Alignment generally feels like a huge and unachievable task. Author has simplified this process by differentiating between different types of alignments. He has divided the whole alignment process into five different parts or flavors as he calls it; Strategic, Infrastructure, Operational, Innovation, and People. I think the author has taken the right approach here. Differentiating between the flavors of alignment will help a company to properly understand ...

Accounting: “the origination and development of China’s audit firms: ‘translation’ meets self-determination” by Shuwen Deng and Richard Macve. Presentation at the Interdisciplinary Perspectives on Accounting Conference 2012.

1. The authors state, page 3-4, “our primary research question is to explore how far it is realistic suppose that one or more indigenous Chinese firms can occupy a position internationally alongside the current Big 4”.

a. In your own words, provide a few details of what they mean – about 3 – 5 sentences.

Some people are predicting that the next big international firm will be a Chinese indigenous CPA firm – one that is purely a ...

The article provides in-depth information on Egypt’s effort to reinforce its accounting and International financial reporting standards (IFRS) over the last twenty years. Egypt’s decision to liberalize its economy has indeed created more benefits for the country and this has allowed it to become a dynamic market economy incorporating both the private sector as well as the global economy. Subsequently, the Economic liberalization enabled the reactivation of the securities exchange market and the establishment of a privatization program. As a result, Egypt sought to integrate the International Financial Reporting Standards in order to enhance the efficiency and effectiveness of various ...

In 2002, the adoption of the Sarbanes Oxley act transformed the performance of the business units at the market and influence the business ethics of the companies. The author of the article “The Unexpected Benefits of Sarbanes-Oxley” stipulates that initial aim of the adoption of the legal acts was to overcome the fraud in order to improve the credibility of the companies (Wagner, 2006). First of all, all the companies within the territory of the country has faced the necessity to report about its activity to the Public Company Accounting Oversight Board, while the majority of the business units ...

(the author’s name)
(the institutional affiliation)
The article establishes the study aimed at investigating the relationship among evidence-based practice (EBP) and outcomes in case of client pain, dyspnea, falls and pressure ulcer found in the home care setting. In this regard EBP is set as “nursing interventions based on best practice guidelines” (Doran et al., 2014, p. 274). The research question is support by quantitative study in which data collection measures and procedures are supplied with structural and process variables as independent, which cause changes in outcome variables as dependent. The study purpose clearly addresses the health-related problem ...

Summary of the Wolfers’s Article

This assignment will first summarize the article published by Wolfers (2016) in the New York Times, about policymakers’ possible response to an economic slowdown.
Wolfers (2016) begins his article referring to an employment report that suggests job growth is slowing down. He brings up the possibility that the economy may suffer a significant slump, maybe even a recession. Wolfers (2016) suggests that the recent economic recovery may have come to an end. Worse, it is hard to think of a time in recent history when policy makers were so unprepared to answer to the challenge (Wolfers, 2016).
If the ...

Method

Research Design and Research Tradition
Sample and Setting
The researchers employed purposive sampling which is the most appropriate to use in a qualitative study. They considered the family members of elderly patients and chose those who they judged would be best able to relate their experiences in the ED. They made sure that different age groups, gender, and civil status were represented. The authors did not set a sample size beforehand and is also appropriate in a qualitative study because sample representativeness is not based on the size but on how much participant narratives mirror reality (Everest, 2014). As ...

Auditors Wield Mathematical Weapons to Detect Cheating

Auditors Wield Mathematical Weapons to Detect Cheating
This article is dedicated to the depiction of the case when the analysis of the accounting data may reveal the ethical misconduct and accounting fraud. The team of the forensic accountants has dedicated their activity to the assessment and evaluation of the refunds, which were issued by the national call center. The forensic accountants have identified that there was exceed number of ‘fours’ in the data – only accountants are able to reveal and address the pitfalls, implied by such issue.
It was identified that the lion share of the refund-related operations was ...

Chapter Summaries

Chapter Summaries
For any business professional to succeed and become a competent and successful professional, he must possess good communication skills. Communication skills such as written communication, oral communication, and interpersonal communication are necessary to survive in today’s competitive era. The same fact also stands true for accounting professionals. According to the American Institute of Certified Public Accountants (AICPA), communication skills are and will remain in future as important a skill as any other professional skill. AICPA lists “effective business writing” as a necessary skill for competence in public accounting. Unfortunately, some of the entry level accountants do ...

Thesis

Years and years of racial discrimination have created the doubt that racial discrimination might not be the cause of the economic injustice. The article, Discrimination in a Low-Wage Labor Market, focuses on the racial discrimination in the labor market. In this research paper, researchers have carried out field experiments, which give insight into the low wage market where discrimination against minorities and ex-offenders can be observed.

Methods

Herein, it should be noted that as per the analysis of the article, it came to the notice that the researchers have made use of the quantitative research method. The study has also derived ...