Procedures When Fraud is suspected

Whenever the auditor encounters situation that might indicate that there is a material mis-statement in the financial statements resultant from fraud or error, the auditor must perform processes to establish whether the financial statements are materially mis-stated.

Whenever the auditor recognizes a misstatement, the auditor must consider whether such a misstatement might be analytic of fraud and when there is such a sign, the auditor must consider the implications of the mis-statement in association to other features of the audit, mainly the consistency of management representations.

• Evaluation and Disposition of Misstatements
• Documentation
• Communication
• Communication of Misstatements
• Communication of Audit Matters
• Communication of Misstatements Resulting From Fraud to Management
• Communications to Regulatory and Enforcement Authorities
• Irregularities
• Materiality
• Indication of irregularities
• Reporting to the members

 

Posted Date: 12/3/2012 5:31:41 AM | Location : United States

Ask an Expert

Related Discussions:- Procedures when fraud is suspected, Assignment Help, Ask Question on Procedures when fraud is suspected, Get Answer, Expert's Help, Procedures when fraud is suspected Discussions

Write discussion on Procedures when fraud is suspected
Your posts are moderated

Write your message here..

Related Questions

Auditing in edp environment., nature and scope nature and scope

Existence - audit process, Existence - Audit Process In the case of ta... Existence - Audit Process In the case of tangible assets existence is confirmed through the auditor visually, considering the asset examining and concerned its condition.  Thi

Audit work on the holding company, Audit Work on the Holding Company We ... Audit Work on the Holding Company We will focus on the verification of investments in subsidiary companies. 1. Get a schedule that should contain the following information. A

What ethical and economic issues did the auditors consider, Blowing the Whi... Blowing the Whistle on Former Partners On St. Patrick's Day in 1992, Chambers Development Company, one of the largest landfill and waste management firms in the United States, a

Necessity of accountant, Necessity of Accountant The accountant is no... Necessity of Accountant The accountant is not necessary To expand his enquiries beyond the information enclosed in the relevant documents as supplemented through such e

What are the problems associated with intangible assets in, audit account? audit account?

Preliminary engagement, during the preliminary stage of an audit, an audito... during the preliminary stage of an audit, an auditor most likely would not do the following

Need for an audit, Need for an Audit Whether you take an example for a... Need for an Audit Whether you take an example for a modern large liability company, such we can clearly differentiate between those who control those funds the providers of fu

Reporting to the members-fraud suspection, Reporting to the members Exc... Reporting to the members Except the faults and irregularities outcome in the accounts not giving an accurate and fair view, or do not conform to statute, or appropriate books h

Reference to an expert in auditor’s report, Reference to an expert in audit... Reference to an expert in auditor’s report When issuing an unmodified auditor’s report, the auditor must not refer to the work of the expert. This is because such a reference m