Objectivity - external auditor report, Auditing

Objectivity - External Auditor Report

Many accounting figures are subjective and contain substantial terms of subjective judgment.  Many more business transactions have financial effects which spread over many more years.  Therefore decisions are to be made, as to the extent to such spending incurred in one year can reasonably be expected to create benefits in other years in the form of revenue.  Therefore objectivity requires which accounts state externally verifiable changes than subjectively seems opinions.  Therefore the accounts must be free from bias, since the creator of the accounts should not permit personal preferences to enter into their accounts preparation work.  All activities are influenced through personal experience in practice and prejudice.  One important thing is for the auditor to be aware of this and for him to be aware of the tendency also to bias in the all financial reporting.

Posted Date: 1/24/2013 7:12:58 AM | Location : United States







Related Discussions:- Objectivity - external auditor report, Assignment Help, Ask Question on Objectivity - external auditor report, Get Answer, Expert's Help, Objectivity - external auditor report Discussions

Write discussion on Objectivity - external auditor report
Your posts are moderated
Related Questions
Auditors Procedures During Stock Taking The main task during stock taking is to ascertain where the client's employees are carrying out their commands properly. It is particul

Please present an analysis of the attached case. Your analysis should be in the form of a memo not to exceed four pages plus appropriate exhibits. The memo should present your

Negligence in General There is no case against auditors and this made it hard to be accurate as to where the auditor’s legal liability falls.  We require therefore referring to

Disclosures about Inventories - IAS 2 IAS 2 specifies disclosures about inventories. In a large manufacturing company, no article in the balance sheet appears verification

International, Assurance Auditing, Standards Board (IAASB) The prologue to the International Standards on Quality Control, Auditing, Assurance and Related Services is issued to

Reserves - Audit Process Movements in reserves need disclosure in the balance sheet, the loss and profit account, the director's reports or in the notices to the accounts. The

The assignment continues the research process by further exploring and defining the problem statement through the development of research objectives. These objectives will allow yo

describe how the auditors would determine that all investments income from shares had been properly recorded in the accounting records

Post Balance Sheet Events Post balance sheet events occupy a very significant place in auditing and hence there is generally a program of work which is carried out in this are

discuss the verification procedure of current assets and long term liabilties