Fraud


The PCAOB reminded auditors to be diligent about fraud in a report that draws on important or recurring observations made during the board’s inspection of audit work performed by registered public accounting firms.

The report addresses several topics, including:

Auditors’ overall approach to the detection of financial fraud.

Required brainstorming sessions and fraud-related inquiries.

Auditors’ response to fraud risk factors.

Financial statement misstatements.

Fraud associated with management override of controls.

The report does not change, propose to change or provide new interpretations of any existing standards. The report’s purpose is to generally focus auditors on being diligent about their fraud-related responsibilities and to provide information that audit committees may find useful in working with auditors.

The report is available at www.pcaobus.org/Inspections/Other/2007/01-22_Release_2007-001.pdf.

SPONSORED REPORT

How the election may affect taxation of business income

This report summarizes recent proposals to reform the U.S. business income tax system and considers the path to enactment of any such legislation.

VIDEO

How to Excel pivot a general ledger

The general ledger is a vast historical data archive of your company's financial activities, including revenue, expenses, adjustments, and account balances. J. Carlton Collins, CPA, shows how to prepare data for, and mine data with, PivotTables.

QUIZ

Did you follow 2016’s biggest accounting news?

CPAs will remember 2016 as a year of new standards and new faces. How well did you follow the biggest accounting events? The 7 questions in this quiz will help you find out