Page 265 - DCOM509_ADVANCED_AUDITING

Advanced Auditing Pooja, Lovely Professional University

Notes Unit 14: Professional Ethics and Current Issues

CONTENTS
Objectives

Introduction
14.1 Professional Ethics in Auditing

14.2 Regulations in Auditing
14.2.1 Effect of Laws and Regulations
14.2.2 Responsibility for Compliance with Laws and Regulations

14.2.3 Duty of Statutory Auditor for Compliance with Accounting Standards
14.3 Current Issues in Auditing
14.3.1 Matters Influencing Auditing

14.3.2 Auditing Profession
14.3.3 Automating Audit Procedures
14.3.4 E-Commerce

14.3.5 Financial Reporting and Websites
14.3.6 Forensic Accounting

14.3.7 IT Audit Basics
14.4 Summary
14.5 Keywords

14.6 Review Questions
14.7 Further Readings

Objectives

After studying this unit, you will be able to:

 Discuss the professional ethics in auditing
 Explain the regulations in auditing
 Describe the current issues in auditing

Introduction

The Audit operation refers to an examination of auditing records undertaken with a view to
establishing the correctness or otherwise of the transactions reflected therein. It involves an
intelligent scrutiny of the books of account of a company, with reference to documents, vouchers
and other relevant records to ensure that the entries made therein give a true picture of the
business conducted during that period, that every transaction has been properly authorized by
the appropriate authority and that the effect of all the entries in the books of account has been

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