Literature Review on Internal Audit - 1789 Words

Survey finds internal audit risk assessments inconsistent Year: August, 2007 The report suggests that internal auditing needs to identify areas of high and moderate risk that are part of the internal audit plan but have been deferred or cancelled because of the organizations focus on Sarbanes-Oxley Section 404. It recommends that chief audit executives (CAEs) revisit the budgets, skills, and capabilities needed to achieve a comprehensive, balanced, and risk-based approach to auditing, as well as develop a process to advise the audit committee and senior management about emerging risks. In other findings, internal audit leaders say their greatest challenge is finding enough qualified talent to address the growing and increasingly†¦show more content†¦The 2007 study also found that internal audit groups reporting to the CFO organization devote more time to Sarbanes-Oxley compliance than groups that report directly to the audit committee or the CEO. According to the study, only 31 percent of internal audit functions reporting directly to the audit committee or the CEO devote more than 50 percent of their time to Sarbanes-Oxley compliance. By contrast, 46 percent of those who report directly to the CFO indicated that they dedicated more than 50 percent of their time to the Act during 2006. The study found that when internal audit reports to a level below the CFO in the finance organization, such as to the controller or treasurer, the time commitment to Sarbanes-Oxley compliance increases dramatically, with 69 percent of these internal audit functions reporting spending more than 50 percent of their time addressing compliance with the Act. Given the disparity of time dedicated to compliance with Sarbanes-Oxley depending on reporting relationships, these survey results naturally beg the question as to who is actually directing the focus and deployment of corporate audit resources, added Anderson. Reference: http://www.accountingnet.com/x57724.xml Study: Impact of Economy on Internal Audit Profession *By: (SmartPros*) Year: June 15, 2009 The results of a new IIA survey have revealed perspectives on the cause and effects of the financial meltdown, as well as the views of internal auditorsShow MoreRelatedThe Effect Of Internal Controls On Corporate Governance Associated With The Revelations Of Internal Control Material Weaknesses And Their Subsequent Remediation812 Words   |  4 PagesChanges in Corporate Governance Associated with the Revelation of Internal Control Material Weaknesses and Their Subsequent Remediation. The abstract discusses the problems associated with the lack of internal controls within a company. Additionally, the abstract discusses how fraud and material weaknesses can occur without the implementation of the proper internal controls. Johnstone, Li, and Rupley (2011) disclose that internal controls have long been viewed as an important policy to have inRead MoreHow Does Cloud Computing Affect Company s Business Activities?868 Words   |  4 Pagescomplete the questionnaire. In addition, the study was conducted within the Republic of Croatia, during a deep recession. The referenced journal article applies to the research topic because it is important to know how Cloud Computing affects company’s internal controls. In addition, it is important to understand what Cloud Computing is and the benefits it offers businesses. This study will help provide valuable information to the reader when researching Cloud Computing. Davidovic, V., Ilijevic, D.,Read MoreEffects Of Internal Audit Practices On Financial Performance Of Commercial Banks1689 Words   |  7 Pages EFFECTS OF INTERNAL AUDIT PRACTICES ON FINANCIAL PERFORMANCE OF COMMERCIAL BANKS IN KENYA (A CASE STUDY OF KENYA COMMERCIAL BANK) GIDALI MUHINDI FRANKLINE A Research Proposal in Partial Fulfillment for the Bachelor of Business Administration of the Technical University of Mombasa 2016 DECLARATION I declare that this research proposal is my original work and has not been presented for a degree award in any other university. Signature†¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦ Date†¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Read MoreInternal Auditor s Role For Combat Fraud809 Words   |  4 PagesInternal Auditor’s Role to Combat Fraud Background Internal auditor, should be the eyes and ears of the company to combat fraud. As fraud becomes a growing problem to every company nowadays no matter what size the organization is, the risk of fraud is like a storm that could wipe the company out dry at any given time. Most companies have strategically strengthen its internal control and corporate governance to effectively mitigate fraud as it is becoming a necessity to protect the company from theRead MoreAudit Activity, Audit, And Agency Theory1249 Words   |  5 Pagespapers about audit activity, audit price and agency theory. This short paper will provide a brief review focus on whether agency theory provides a general framework for audit pricing majorly refer to the study by Nikkinen and Sahlstron (2004). Furthermore, this is short paper also try to make further discussion from personal perspective. Literature review The purpose of Nikkinen and Sahlstron (2004) study is to ‘investigate whether agency theory provides a general framework for audit pricing.’ ThroughRead MoreEthical Financial Reporting And Disclosure Quality893 Words   |  4 Pagesto emphasize the positive influence of independent audit committee on the ethical financial reporting, corporate disclosure, and company ethical environment overall (p. 183). Introduction. The author studies the relationships between the director overlap and financial reporting quality, and for that purpose, analyzes the compensation measurement system and how it tights to performance (p. 183). The researcher also focuses on the impact of audit committee on the reporting and disclosure. The mainRead MoreEssay on case 12-071370 Words   |  6 Pagesand defensed costs relating to currently pending claims and future claims for losses incurred to date. Liabilities recorded per/as at Dec 31. 2009 2008 2007 Rossi Inc. $962m $1,055m $469m Thompson (External Specialist) $1124m $1,055m Internal Actuarial Specialist $907m, $1,184m, and $1,514m The 2007 claim estimate is projected through 2011. The 2008 and 2009 estimate are projected through 2017. During 2009: The reserve is reduced by payment, but no addition; Higher mesotheliomaRead MoreResponsibilities Of Meghan Kenney Auditing1516 Words   |  7 PagesResponsibilities of Meghan Kenney Auditing We will conduct our audits in accordance with auditing standards generally accepted in the United States of America (â€Å"GAAS†). Those standards require that we plan and perform the audits to obtain reasonable assurance about whether the financial statements are free from material misstatement, whether caused by error or fraud. An audit includes examining, on a test basis, evidence supporting the amounts and disclosures in the financial statements, assessingRead More14 Best Reading Practices956 Words   |  4 PagesFamilies, communities, and schools collaborate to support literacy development of students at home and school.    School Audit of Reading Best Practices    Purpose of the Audit: Through the Illinois Right to Read Initiative, the Best Practices and Resources Committee identified 14 best practices in reading (as listed in the first column below.) School staff may use this audit sheet to examine current best practices in reading as another method of gathering information for the school improvementRead MoreUse Of Internal Audit By Australian Companies1117 Words   |  5 PagesThe use of internal audit by Australian companies Abstract: The main purpose of this study is to identify the reason behind the voluntary use of internal audit by public listed companies and to determine the factors that lead listed companies to have an IA function. There are number of reasons behind the implementation of IA function and it is strongly related with risk management, indication of effective internal controls and efficient corporate governance. This study is based on the work done