Internal validity

Following the pervasive financial losses which occurred as a result of the great depression, the U.S. Securities and Exchange Commission (SEC) was established with the guiding principle to instil confidence in current and potential holders of stocks and bonds that publicly traded companies are managing funds efficiently and appropriately, which is to be achieved through “full disclosure” of the organizations’ financial performance in the form of quarterly and annual financial statements…

Case Study 2 (Learning Objectives 2, 4: Explain the components of internal control; evaluate internal controls) Each of the following situations reveals an internal control weakness: Situation a. In evaluating the internal control over inventory for the Williams Oil Services Company, an auditor learns that the warehouse receiving clerk is responsible for ordering parts for supply inventory use in drilling services, counts the inventory when received at the dock, records the receipts into the…

• The AICPA's Code of Professional Conduct does not require all employees to sever ties with all audit clients. For example, staff auditors not working on a particular engagement need not sever ties. In this case, the firm exceeds the minimum level of conduct for independence. • The case does not address other ethical requirements. • The case does not mention spouses or dependents of the employees. Spouses and dependents must also be independent, as defined by Section 100--Rule 101 of the…

by Port State Control, Flag State Administration or Recognised Organisation on their behalf. • Internal Audit – conducted by the Company (the Ship owner). In this light, a…

Maqsood Khan was the internal audit officer in Bank-e-Mille on 2012. I was the internal audit manager at the same bank, and his was working under my supervision. Bank-e-Mille internal audit department had one chief internal auditor, three audit managers, and seven internal audit officer. Every audit manager was responsible of different section of audit. For example, one manager and two officers were auditing the bank’s branches in Kabul and other provinces of Afghanistan. The second manager…

Freddie Mac: Scandal of 2003 Alex Ceja Eva Lucatero Darrah Bonander Reedley College Ethics is the practice of performing at a level of right rather than wrong. Pertaining to or dealing with morals or the principles of morality. Being ethical is the highest standard for a business and is expected in every profession or career. One word that describes the term ethics would be truthfulness. Employees are expected to be truthful with the work they do. That means no falsifying records, any…

With respect to the Enron case, there were initially two red flags leading to the fraud that should have been noted and thoroughly reviewed: (1) Enron and other corporations previously pressed for deregulation of the energy industry, and (2) lack of monitoring the industry and corporation practices by the government after deregulation (Albrecht. Fraud Examination, p. 431). After the deregulation of the industry, many corporations were, more or less, free to do as they please, which provided the…

in order to gauge the success of internal controls over financial reporting (p. 185). In addition to establishing auditing and attestation standards, the PCAOB was responsible for establishing quality control, ethics, independence, and other standards…

of one being called the “Internal Auditor” and the other being called “The World” The first blog I looked at was…

2. TERRITORIAL WATERS Article 2(1) of the United Nations Convention on the Law of the Sea (UNCLOS)48 provides that, “[t]he sovereignty of a coastal State ex-tends, beyond its land territorial and internal waters and, in the case of an archipelagic State, its archipelagic waters, to an adjacent belt of sea, described as the territorial sea”. This maritime zone extends up to 12 nautical miles (Article 3, UNCLOS). The only major exception to this sovereign power of the state is the right of…