Communications to regulatory and enforcement authorities, Auditing

Assignment Help:

Communications to Regulatory and Enforcement Authorities

The auditor’s professional responsibility to sustain the confidentiality of client information ordinarily prevents reporting fraud and error to a party exterior the client entity. The auditor believes seeking legal advice in such situations.

Errors can be explained as an intentional mistake and they can happen at any stage in a business transaction and they can be of any kind. Auditors would principally be fascinated in the prevention, discovery and disclosure of errors for the following causes:

(a) Existence of errors might indicate that accounting records are untrustworthy and are thus not a satisfactory basis from which to organize financial statements. The auditor could thus conclude that appropriate books of accounts have not been kept where there are so many material faults. This is a basis for qualification of an auditor's report.

(b) Too many faults might also point out that the system of internal control is not consistent, and hence the auditor wishing to place any reliance on a system of internal control might not be capable to do so.

(c) When errors are of adequate magnitude, they might be sufficient to affect the correct and fair view specified by the accounts.


Related Discussions:- Communications to regulatory and enforcement authorities

What is an external auditor’s responsibility, What is an external auditor's...

What is an external auditor's responsibility in regard to finding fraud?

Organization - work related health problems, Organization - Work Related He...

Organization - Work Related Health Problems There are various organizations both government and private which conduct researches on Biomedical and Ergonomics, Behavioral Scien

Liability to third parties, Liability to third parties For long time li...

Liability to third parties For long time liability to third parties existed only in respect to physical damage. Liability for financial loss is a current development.  Illustra

Audit evidence and documentation, list and explain four factors that influe...

list and explain four factors that influence the auditor''s judgement regarding the sufficiency if the evidence obtain

What is the role of audit trainee in managing the discrete a, what is the r...

what is the role of audit trainee in managing the discrete assignment?

Auditing different from studying other accounting topics, 1. Why is studyin...

1. Why is studying Auditing different from studying other accounting topics? 2. How might understanding auditing concepts prove useful for consultants, business managers, and other

What do you meant by proactive project management, Question 1: What do ...

Question 1: What do you meant by Proactive Project Management? Define Proactive Project Management Bring out significance of Proactive Project Management with an exa

Beneficial ownership or title, Beneficial Ownership or Title In Januar...

Beneficial Ownership or Title In January 1976 the famous case of Aluminium Industries vaassen B V v. Romalpa Aluminium Ltd radically altered the law along with regard to norma

Audit function, Audit Function The audit functions as follows as: 1...

Audit Function The audit functions as follows as: 1. To verify the estimation of timing differences; 2. To ensure such permanent differences have not been got into accou

Transferee liability, Transferee Liability - A person may be held LIABLE fo...

Transferee Liability - A person may be held LIABLE for another taxpayer's delinquent taxes if: 1. The transferee received assets of the transferor-taxpayer; and 2. The transf

Write Your Message!

Captcha
Free Assignment Quote

Assured A++ Grade

Get guaranteed satisfaction & time on delivery in every assignment order you paid with us! We ensure premium quality solution document along with free turntin report!

All rights reserved! Copyrights ©2019-2020 ExpertsMind IT Educational Pvt Ltd