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

Supercharge your audit process with AI

Auditors today can employ AI to automate tedious tasks and gain far greater insights from their clients’ information. This free report lays out a five-step process for implementing AI and shows ways AI can add value to the auditing process.

RESOURCES

Keeping you informed and prepared amid the coronavirus crisis

We’re gathering the latest news stories along with relevant columns, tips, podcasts, and videos on this page, along with curated items from our archives to help with uncertainty and disruption.