tailieunhanh - Lecture Auditing and assurance services (6/e) - Module D: Internal audits, governmental audits, and fraud examinations

After studying this chapter you will be able to: Define internal auditing; describe internal audit institutions (. IIA); describe how internal auditors interact with independent auditors; explain internal auditors’ independence problems; and list features of internal reports; explain the function of standards and measurements in economy, efficiency and program audits. | Internal Audits, Governmental Audits, and Fraud Examinations Module D Internal Audit, Governmental Audit, and Fraud Examination “You have a chance to really learn and improve the business. You build relationships with the board and major business leaders. You can move internal audit to more value-added processes. And it builds your ability to manage people and work with cross-functional teams. - Michael Fung, CFO Wal-Mart North America, on his years spent in internal audit Mod D- Module Objectives Define internal auditing; describe internal audit institutions (. IIA); describe how internal auditors interact with independent auditors; explain internal auditors’ independence problems; and list features of internal reports. Define governmental auditing; describe governmental audit institutions (. GAO); describe how governmental auditors interact with independent auditors; explain governmental auditors’ independence problems; and list features of governmental audit reports. Explain the function of standards and measurements in economy, efficiency and program audits. Mod D- Module Objectives Describe the Single Audit Act of 1984 in relation to audits of governmental fund recipients. Define fraud examination; describe various engagements performed by fraud examiners. Describe the elements necessary for a successful fraud examination and explain the differences between how fraud examination and external auditors handle evidence. Describe the ways CPAs can assist in prosecuting fraud perpetrators. Mod D- INTERNAL AUDITING DEFINED Independent and objective Assurance and consulting activity Adds value and improves an organization’s operations. It helps an organization accomplish its objectives A systematic, disciplined approach to evaluate and improve the effectiveness of risk management, control, and the governance process. Mod D- Role of the Internal Auditor Ensure reliability and integrity of information Safeguard assets Ensure compliance with . | Internal Audits, Governmental Audits, and Fraud Examinations Module D Internal Audit, Governmental Audit, and Fraud Examination “You have a chance to really learn and improve the business. You build relationships with the board and major business leaders. You can move internal audit to more value-added processes. And it builds your ability to manage people and work with cross-functional teams. - Michael Fung, CFO Wal-Mart North America, on his years spent in internal audit Mod D- Module Objectives Define internal auditing; describe internal audit institutions (. IIA); describe how internal auditors interact with independent auditors; explain internal auditors’ independence problems; and list features of internal reports. Define governmental auditing; describe governmental audit institutions (. GAO); describe how governmental auditors interact with independent auditors; explain governmental auditors’ independence problems; and list features of governmental audit reports. .