Sign Up Now
Get instant access to over 1 million+ study documents
OR
Already registered? click here to login
By creating your account, you agree to our terms of service, privacy policy and student honor code.
Auditing Standards must, out of necessity, be of the highest possible standards, and the ethics involved must be of the best quality possible. If they were not, they would have to be improved as soon as any disparities are noticed, and this in turn means that the standards that are specified within the Auditing Standards Board that are meant to be followed by all auditors as well as CPA firms while performing audits must be strictly adhered to, otherwise, there will be unethical accounting behavior, which is not at all a healthy phenomenon. At present, the PCOAB or the Public Company Accounting Oversight Board sets the standards for accounting behavior, wherein audits and reviews of the SEC registrants and of the ASB must be brought under the rules as specified by the quality control standards. However, one must acknowledge the fact that to much importance...
(On High Standards of Auditing Ethics and Behavior)
Therefore, it must be stated that all CPA's must play an important role in the development of high ethical standards not only for themselves, but for their companies as well. The AICPA has set up a 'New Code of Professional Conduct', and it is expected that all companies would follow this set of rules willingly and unfailingly. Ethical decisions are not only the concern of the upper level managers of a concern, but also important for the entrants into the profession, and…
Audit Quality and Agency Cost Since the advent of industrialization, there has been the presence of a bond between the people who invest and the people who manage those investments, forming a vital relationship amongst the two groups. Although with the rise of such relationships, the soaring issues of trust and confidence have been a hindrance in economic growth. Viewing the high percentage of the capital of investors or shareholders in
3. The widening of the audit functions to include other elements outside employee hours, especially safety conditions within the workplace. 4. The decentralization of the control processes in the meaning of data collection and processing at the individual level of each of the three plants. This strategy would insure that the results are relevant and applicable in the context of the uniqueness of each plant. 5. The simplification of the control processes
Bullseye CompanyAn audit is a report given from an analysis of business operations. Business operations are analyzed and set standards set either by regulatory bodies, government, or the audited business itself. The completed product is a final report describing aptitude against the set standards. There are two types of audits, namely internal and external audits. Internal audits are voluntary and conducted within an organization, while external audits are audit reports
Auditing; Topic: Materiality in Auditing With respect to the field of auditing, materiality is a critically important concept addressing the significance of discrepancies, amounts, and transactions. Specific materiality guidelines are required in accounting practices to avoid judgmental (legal) decisions. Materiality is applied for most, if not all, economic decisions, and the topic of materiality is not a new issue. Disclosures in re financial statements have been emphasized by courts in
International Regulation, Accounting Standards and Australia Background and Need for Regulation International regulation is a necessity in the finance arena as the world bears a high rate of interconnection, particularly via banking and accounting. In 2008, Europe was given international accolades for its attempts to strengthen the world financial system and protect nations all over the world from a serious crisis. "Europe led the way last year in facing down the
On the other hand, Enormo Corp is a big client for CPA, and exposing its case to authorities, would mean losing it. As an alternative, CPA can refuse to work with Enormo Corp in this case and Enormo would be forced to resort to a different auditing company. 3. Recommended course of action. CPA has the right to handle this situation with the client, while trying to continue to have a