Model Audit

In 2002, Congress signed the Sarbanes-Oxley Act (SOX) in response to several notorious corporate scandals, including those at Enron/Worldcom. The piece of legislation was aimed to hold corporate officers personally liable and to rebuild public confidence in the corporate sector. SOX, “requires violations of securities laws or breaches of fiduciary responsibility to be reported to either the chief legal officer or CEO of the company by-house attorneys or outside counsel (Reed, & Bogardus, 2015)…

AggiePride Nationwide, assistant chief accountant at Martin Company, is trying to prepare a trial balance so that the quarterly financial statements can be prepared and released to management and regulatory agencies. Agg-ie noticed that the total credits on the trial balance exceeded the debits by $1,000. She added the amount of the difference in the Equipment account, the largest account percentage-wise, in order to force the debits and credits to balance. She assumes that her actions of…

Different governments across the world enact different acts to different business and investors in order to help them in curbing specific challenges facing various business. The provisions of this acts apply in both public and private companies and overs the major responsibilities that are expected to be carried out in order to ensure this provisions of the act are followed. In the following discussion we are going to look at Sarbanes-Oxley Act which was a United States federal law. Question…

an IT dependent operating environment offers suitable documentation for each phase of system development processed. However, IS auditors may need to take into account the existence of methodology to make sure the compliance with Capability Maturity Model Integration standards or to the International Standardization standards (Dattero & Gallup, 2007). Lastly, methodologies are critical element that should be consider for IS auditors, as the system development matures more IS auditors will be…

Library Objectives The Objective of the university library is to provide books, periodicals, and other instructional materials to support the academic of the University. To carry out this objectives entail certain functions as follows. 1. Acquisition of Materials. Proper selection and acquisition of varied types of materials (books, periodicals, pamphlets, maps and other materials) needed to support the curriculum. 2. Making Materials Available. The role of the library is not to…

The purpose of generalized audit software programs is to perform a variety of auditing operations on the computer files used to store the information. The steps to be followed by the internal auditor to use generalized computer audit software include: • planning and designing the audit application. • ensuring that the output and final reports are generated from the files being • tested. ii. The purpose…

chief financial officer of WorldCom. The WorldCom CFO did not tell Andersen about the line cost transfers nor did he consult with Andersen about the accounting treatment. Upon recently learning of the transfers, Andersen conferred with the WorldCom audit committee and new management, and advised the company that WorldCom’s financial statements for 2001 should not be relied upon” (Accounting Web, 2002). Andersen lost their independence, violated the trust of the public and breached several…

Dell started out in 1984 with just 1,000 dollars and became the largest computer system providers worldwide. The founder of the company was Michael Dell who at that time was a 19 year old. Michael Dell went to the University of Texas as a pre-med student, but at the end of his freshmen year he left to devote his time to his growing business. Dells vision in 1984 was on how technology should be designed, manufactured and sold. Dell is more than a company with a vision, it’s a company with strong…

Auditing in manual system is the traditional audit and the auditing in computerized environment is recent new technique. The core differences between the audit in…

Company Fraud In the 1970’s “fair trade” laws allowed manufacturers to require retailers to sell merchandise at the same price to avoid price competition for their products (Antar, 2011). This type of regulations force Eddie Antar to look for a different alternative in order to remain in business. It appears as if his only options were to purchase overseas and overstock from other retailers. Crazy Eddie stores had one goal in mind; sell a product to every customer that walked into their stores.…