Why do you believe it is important for auditors to enforce rules (i.e. GAAP) when managers are disclosing financial accounting information to outside stakeholders, such as shareholders and bondholders?
Though Managers disclose financial accounting information to outside stakeholders, such as shareholders and bondholders, auditor provide a certificate that company is following and complying with the Generally Accepted Accounting Principles (GAAP).
Auditor examines the existence of internal financial controls and whether such controls are followed by the entity. It is necessary to prevent and detect any material misstatement, whether due to error or fraud, which may exist in absence of non compliance of GAAP. Auditor assures that the financial reporting framework used is appropriate.
Mere disclosure of accounting information is not sufficient, auditor is a professional body on whose reports and certificates, the stakeholders place their reliance on the entity. Hence, it is important for the auditors to enforce rules, that is GAAP.
Why do you believe it is important for auditors to enforce rules (i.e. GAAP) when managers...
Why do you believe it is important for auditors to enforce rules (i.e. GAAP) when managers are disclosing financial accounting information to outside stakeholders, such as shareholders and bondholders?
Describe a) what you believe to be the most important COSO component; and b) why. (If for some reason your mind has taken a nap, see question #2 which identifies all 5). Accountants utilize the body of knowledge called GAAP in the performance of their duties partly to ensure comparability and consistency in the preparation of accounting records / financial statements. Auditors on the other hand perform their responsibilities following GAAS as defined within the AICPA SASs or PCAOB Auditing Standards....
What do you understand by the term IT Governance? Why is it important for Internal Auditors to consider IT Controls in assessing a firm’s control environment?
Why do you think audit reports are important? What are some of the most important factors or skills for auditors? Have you heard about Forensic Accounting?
why do you believe confidentiality is so important in the treatment of addiction
Why is it important to include the perspectives of all stakeholders when using the Ethical Framework to make a decision? Out of the four components in the Ethical Framework, which do you believe is the most difficult to employ and follow through with? Why?
why do you believe that role modeling is so very important as a nurse educator?
Do you believe that the management of a public company (i.e. listed firm on a stock exchange) is able to manage the firm’s earnings and overstate its financial performance through the change of accounting estimates related to the depreciation policy? Explain your answer and provide examples of a hypothetical and/or a real firm that engaged in such accounting practices. Please also provide a brief discussion of the reasons that may explain the behavior and the accounting choices of the firm’s...
Why do you believe “networks” is important to the study of public organizations? If possible, provide an example that illustrates the concept.
Do you believe that the management of a public company (i.e. listed firm on a stock exchange) is able to manage the firm’s earnings and overstate its financial performance through the change of accounting estimates related to the depreciation policy? Explain your answer and provide examples of a hypothetical and/or a real firm that engaged in such accounting practices. Please also provide a brief discussion of the reasons that may explain the behavior and the accounting choices of the firm’s...