Reference no: EM1351024

- From Koss Corporation case, discuss how a weak internal control system and board oversight contributed to the embezzlement activity at Koss Corporation. Speculate on how embezzlement impacts the corporate stock price, and determine the key type of disclosures that management should make to the financial statements. Provide specific examples.

- Discuss the responsibility of an auditor to uncover fraud perpetrated by its management client. Describe at least three mitigation risk strategies to satisfy this responsibility. Compare and contrast the responsibilities of both auditors and management to detect fraud based on the General Accepted Accounting Standards (GAAS) and the Public Company Accounting Oversight Board (PCAOB) guidelines.