CRISIS OF CONFIDENCE - HAVE RECENT AUDIT FAILURE DAMAGED THE AUDIT PROFESSION
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CONTENTS
EXCUTIVE SUMMARY
1. INTRODUCTION
1.1 - Question up for Debate
1.2 - Focus of Report
1.3 - Content of Report
1.4 - Sources of Information
2. INTRODUCTION OF AUDIT
2.1 - Brief History On Failures
2.1 - Why Audit Failure Occur
2.3 - Cost of Audit Failure
3. BRIEF BACKGROUND AND HISTORY OF AUDITING
3.1 - About Auditing
3.3 - Main Players
4. AUDIT FAILURES
4.1 - Enron Case Study
5. ISSUES AFFECTING CONFIDENCE
5.1 - Introduction
5.2 - Fraud
5.3 - Relationship Auditor - Company
5.4 - Initiative to Address Issue
5.5 - Changing Business Environment
6. KEY DEVELOPMENTS TO IMPROVE CONFIDENCE
6.1 - Introduction
6.2 - Sarbanes - Oxley
6.3 - Companies Act / 8th Directive
6.4 - IFRS
6.5 - Reducing Fraud
7. CONCLUSION
8. SELF ASSESSMENT
APPENDIX
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INTRODUCTION
1.1 I have been requested by a partner in my audit firm to brief her before her presentation to the local district society of charted accountants on the issue;
'Crisis of Confidence - Have recent audit failures damaged the auditing profession?'
1.2 The report will provide focus for questions and debates by members of the local district society of Charted Accountants.
Arthur Andersen (1885-1947) - In 1913, Arthur Ande...
Arthur Andersen witnesses testify at the Subcommit...
Snapshot from Audit Document of Comptroller and Au...1.3 Included in the report is an introduction to the topic with some history and background. The key issues for the auditing profession within this topic, and finally how the situation will be resolved within the next few years or so.
A number of case studies will be included in this report to help illustrate my point.
1.4 All the information came from creditable sources. I used ACCA web site, many journals and browsed the internet for up to date information.
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INTRODUCTION AUDIT FAILURE
2.1 During the 1980's and early 1990's...