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ISE Auditing & Assurance Services 8th edition [Minkštas viršelis]

  • Formatas: Paperback / softback, aukštis x plotis x storis: 274x218x38 mm, weight: 1740 g
  • Išleidimo metai: 23-Nov-2020
  • Leidėjas: McGraw-Hill Education
  • ISBN-10: 1260570517
  • ISBN-13: 9781260570519
Kitos knygos pagal šią temą:
  • Formatas: Paperback / softback, aukštis x plotis x storis: 274x218x38 mm, weight: 1740 g
  • Išleidimo metai: 23-Nov-2020
  • Leidėjas: McGraw-Hill Education
  • ISBN-10: 1260570517
  • ISBN-13: 9781260570519
Kitos knygos pagal šią temą:
As auditors, we are trained to investigate beyond appearances to determine the underlying factsin other words, to look beneath the surface. From the Enron and WorldCom scandals of the early 2000s to the financial crisis of 20072008 to present-day issues and challenges related to significant estimation uncertainty, understanding the auditors responsibility related to fraud, maintaining a clear perspective, probing for details, and understanding the big picture are indispensable to effective auditing. With the availability of greater levels of qualitative and quantitative information (big data), the need for technical skills and challenges facing todays auditor is greater than ever. The author team of Louwers, Blay, Sinason, Strawser, and Thibodeau has dedicated years of experience in the auditing field to this new edition of Auditing & Assurance Services, supplying the necessary investigative tools for future auditors.
PART ONE THE CONTEMPORARY AUDITING ENVIRONMENT
Chapter 1 Auditing and Assurance Services
User Demand for Reliable Information
2(2)
Information Risk in a Big Data World
3(1)
Auditing, Attestation, and Assurance Services
4(7)
Definition of Financial Statement Auditing
5(1)
Auditing in a Big Data Environment
6(1)
Attestation Engagements
7(1)
Assurance Services
8(2)
Examples of Assurance Services
10(1)
Management's Financial Statement Assertions
11(3)
Existence or Occurrence (Existence, Occurrence, Cutoff)
14(4)
Completeness (Completeness, Cutoff)
14(1)
Valuation and Allocation (Accuracy or Valuation)
15(1)
Rights and Obligations (Rights and Obligations)
15(1)
Presentation and Disclosure (Classification, Understandability)
16(1)
Importance of Assertions
16(2)
Professional Skepticism
18(3)
Public Accounting
21(3)
Assurance Services
21(2)
Tax Services
23(1)
Advisory Services
23(1)
Other Kinds of Engagements and Information Professionals
24(1)
Internal Auditing
24(3)
Governmental Auditing
25(1)
Regulatory Auditors
26(1)
Become a Professional and Get Certified!
26(1)
Education
27(4)
Examination
27(1)
Experience
28(1)
State Certificate and License
29(1)
Skill Sets and Your Education
30(1)
Summary
31(1)
Key Terms
31(1)
Multiple-Choice Questions for Practice and Review
32(6)
Exercises and Problems
38(4)
Chapter 2 Professional Standards
Introduction
42(2)
Generally Accepted Auditing Standards (GAAS)
44(2)
Organization of GAAS
45(1)
Fundamental Principle: Responsibilities
46(4)
Competence and Capabilities
47(1)
Independence and Due Care
47(2)
Professional Skepticism and Professional Judgment
49(1)
Fundamental Principle: Performance
50(6)
Reasonable Assurance
51(1)
Planning and Supervision
51(1)
Materiality
52(1)
Risk Assessment
53(1)
Audit Evidence
54(2)
Fundamental Principle: Reporting
56(3)
Evaluating the Quality of Public Accounting Firms' Practices
59(4)
System of Quality Control
59(2)
PCAOB Inspection of Firms
61(2)
Summary
63(1)
Key Terms
64(1)
Multiple-Choice Questions for Practice and Review
65(4)
Exercises and Problems
69(7)
Appendix 2A Referencing Professional Standards
76(3)
PART TWO THE FINANCIAL STATEMENT AUDIT
Chapter 3 Engagement Planning and Audit Evidence
Introduction
79(1)
Pre-Engagement Activities
80(5)
Client Acceptance or Continuance
80(3)
Compliance with Independence and Ethical Requirements
83(1)
Engagement Letters
84(1)
Audit Plan
85(6)
Staffing the Audit Engagement
86(3)
Time Budget
89(2)
Materiality
91(3)
Materiality Calculation
92(2)
Audit Procedures for Obtaining Audit Evidence
94(9)
1 Inspection of Records and Documents
96(3)
2 Inspection of Tangible Assets
99(1)
3 Observation
99(1)
4 Inquiry
99(1)
5 Confirmation
100(1)
6 Recalculation
101(1)
7 Reperformance
101(1)
8 Analytical Procedures
101(2)
Audit Documentation
103(4)
Permanent Files
103(1)
Current Files
104(1)
Audit Documentation Arrangement and Indexing
105(2)
Summary
107(1)
Key Terms
108(1)
Multiple-Choice Questions for Practice and Review
109(4)
Exercises and Problems
113(5)
Chapter 4 The Audit Risk Model and Inherent Risk Assessment
Introduction
118(1)
Audit Risk
118(6)
Audit Risk
118(1)
Inherent Risk
119(1)
Control Risk
120(1)
Detection Risk
120(1)
Audit Risk Model
120(4)
Fraud Risk
124(6)
Fraud
126(1)
Types of Fraud
127(3)
Inherent Risk Assessment---"What Could Go Wrong?"
130(7)
Understanding the Client's Business and Its Environment
132(1)
Industry, Regulatory, and Other External Factors
132(1)
The Nature of the Company
133(1)
Related Parties
134(1)
Client Computerized Processing
134(1)
Selection and Application of Accounting Principles, Including Related Disclosures
135(1)
Company Objectives, Strategies, and Related Business Risks
136(1)
Company Performance Measures
136(1)
Gathering Information and Preliminary Analytical Procedures
137(1)
General Business Sources
137(8)
Company Sources
138(1)
Information from Client Acceptance or Continuance Evaluation, Audit Planning, Past Audits, and Other Engagements
138(1)
Preliminary Analytical Procedures
138(6)
Audit Team Brainstorming Discussions
144(1)
Inquiry of Audit Committee, Management, and Others within the Company
144(1)
Overall Assessment and Documentation of Inherent Risk Assessment
145(3)
Document Risk Assessment
146(1)
Fraud and Other Significant Risks
146(1)
Communication of Fraud Risks
147(1)
Auditors' Responsibilities for Client Noncompliance with Laws and Regulations
148(2)
Audit Strategy Memorandum
150(1)
Summary
151(1)
Key Terms
152(1)
Multiple-Choice Questions for Practice and Review
153(4)
Exercises and Problems
157(11)
Appendix 4A Selected Financial Ratios
168(1)
Appendix 4B Sample Audit Memorandum
169(4)
Chapter 5 Risk Assessment: Internal Control Evaluation Introduction
173(48)
Internal Control Defined
174(1)
Management versus Auditors' Responsibility for Internal Control
175(3)
Management's Internal Control Responsibilities
175(1)
Auditors' Internal Control Responsibilities
176(2)
Components of Internal Control
178(13)
Control Environment
179(2)
Risk Assessment
181(1)
Control Activities
182(5)
Information and Communication
187(2)
Monitoring
189(1)
Limitations of Internal Control
190(1)
Internal Control Evaluation
191(13)
Phase 1 Understand and Document the Client's Internal Control
191(6)
Phase 2 Assess the Control Risk (Preliminary)
197(2)
Phase 3 Identify Controls to Test and Perform Tests of Controls
199(5)
Responsibilities in the Audits of Issuers Required by PCAOB Auditing Standard No. 2201
204(3)
Requirements
204(3)
Internal Control Communications
207(2)
Summary
209(1)
Key Terms
209(2)
Multiple-Choice Questions for Practice and Review
211(3)
Exercises and Problems
214(5)
Appendix 5A Audit Plan
219(2)
Chapter 6 Employee Fraud and the Audit of Cash
Introduction
221(4)
Employee Fraud Overview
222(1)
Employee Fraud Red Flags
223(1)
Characteristics of Fraudsters
223(2)
The Fraud Triangle
225(3)
Incentive/Pressure
226(1)
Opportunity
226(1)
Attitude/Rationalization
227(1)
Fraud Prevention
228(4)
Managing People and Pressures in the Workplace
228(1)
Internal Control Activities and Employee Monitoring
229(2)
Tone at the Top
231(1)
The Audit of Cash
232(16)
Management Reports and Data Files in an Audit of Cash
233(3)
Significant Accounts and Relevant Assertions
236(1)
Risk of Material Misstatement
236(1)
Evaluating the Design and Operating Effectiveness of Internal Controls
237(6)
Substantive Procedures
243(5)
"Extended Procedures" to Detect Fraud
248(4)
Summary
252(1)
Key Terms
253(1)
Multiple-Choice Questions for Practice and Review
254(4)
Exercises and Problems
258(8)
Appendix 6A Internal Control Questionnaires
266(2)
Appendix 6B Audit Plans
268(2)
Chapter 7 Revenue and Collection Cycle
Introduction
270(1)
Revenue and Collection Cycle: Typical Activities
271(1)
Receiving and Processing Customer Orders, Including Credit Granting 1
272(4)
Delivering Goods and Services to Customers 2
272(1)
Billing Customers and Accounting for Accounts Receivable 3
273(1)
System Generated Reports and Data Files in the Revenue and Collection Cycle
273(3)
Significant Accounts and Relevant Assertions
276(1)
Risk of Material Misstatement
277(4)
Revenue Recognition
277(3)
Collectability of Accounts Receivable
280(1)
Customer Returns and Allowances
280(1)
Internal Control Activities and Design Evaluation
281(3)
Entity-Level Controls in the Revenue and Collections Cycle
281(1)
Control Considerations at the Account and Assertion Level
282(2)
Tests of Operating Effectiveness of Internal Control
284(4)
Summary: Control Risk Assessment
287(1)
Substantive Analytical Procedures and Tests of Details
288(12)
Analytical Procedures
291(1)
Confirmation of Accounts and Notes Receivable
291(5)
Alternative Procedures
296(1)
Additional Notes about Confirmations
297(1)
Dual-Purpose Nature of Accounts Receivable Confirmations
297(1)
Review for Collectability
297(1)
Cutoff and Sales Returns
298(2)
Audit Risk Model Applied
300(1)
Application in the Field
300(1)
Audit Cases: Extended Audit Procedures
301(7)
Summary
308(1)
Key Terms
309(1)
Multiple-Choice Questions for Practice and Review
309(5)
Exercises and Problems
314(10)
Appendix 7A Internal Control Questionnaires
324(2)
Appendix 7B Audit Plan
326(3)
Chapter 8 Acquisition and Expenditure Cycle
Introduction
329(1)
Acquisition and Expenditure Cycle: Typical Activities
330(3)
Purchasing Goods and Services 1
330(3)
Receiving the Goods or Services 2
333(1)
Recording the Asset or Expense and Related Liability 3
333(1)
Significant Accounts and Relevant Assertions
333(3)
Accounts Payable
334(1)
Expenses
335(1)
Risk of Material Misstatement
336(2)
Internal Control Activities and Design Evaluation
338(3)
Entity-Level Controls
338(1)
Control Considerations
338(2)
Custody
340(1)
Periodic Reconciliation
340(1)
Testing of Operating Effectiveness of Internal Control
341(3)
Tests of Controls
341(3)
Substantive Analytical Procedures and Tests of Details
344(8)
Open Purchase Orders
346(6)
Audit Risk Model Applied
352(2)
Fraud Cases: Extended Audit Procedures
354(3)
Audit Issues in the Expense and Acquisition Cycle
357(1)
Summary
358(1)
Key Terms
358(1)
Multiple-Choice Questions for Practice and Review
359(3)
Exercises and Problems
362(10)
Appendix 8A Internal Control Questionnaires
372(3)
Appendix 8B Audit Plans
375(2)
Appendix 8C The Payroll Cycle
377(13)
Chapter 9 The Production Cycle and Auditing Inventory Keeping Count
390(54)
Inventory Management: Typical Activities
391(4)
Significant Accounts and Relevant Assertions
395(1)
Risk of Material Misstatement
396(3)
Internal Control Activities and Design Evaluation
399(4)
Testing of Operating Effectiveness of Internal Control
403(5)
Substantive Analytical Procedures and Tests of Details
408(12)
Difficult Inventory Circumstances
415(5)
Audit Risk Model Applied
420(2)
Fraud Case: Extended Audit Procedures (AS 2301)
421(1)
Summary
422(2)
Key Terms
424(1)
Multiple-Choice Questions for Practice and Review
425(3)
Exercises and Problems
428(11)
Appendix 9A Internal Control Questionnaires
439(2)
Appendix 9B Audit Plans
441(3)
Chapter 10 Finance and Investment Cycle
Introduction
444(2)
Finance and Investment Cycle: Typical Activities
446(6)
Financing the Entity through Debt and Stockholder Equity
447(1)
Financial Planning 1
447(1)
Raising Capital 2
447(3)
Investing Transactions: Investments and Intangibles 3
450(2)
Significant Accounts and Relevant Assertions
452(1)
Risk of Material Misstatement
453(5)
Complex Transactions
454(1)
Fair Market Value
455(1)
Related-Party Transactions
455(1)
Lease Accounting
456(1)
Loan Covenants
456(1)
Impairments
457(1)
Presentation and Disclosure
457(1)
Internal Control Activities and Design Evaluation
458(2)
Control Considerations
460(1)
Tests of Operating Effectiveness of Internal Control
460(6)
Control over Accounting Estimates
463(1)
Authorization
464(1)
Record Keeping
464(1)
Custody
465(1)
Summary: Control Risk Assessment
465(1)
Substantive Analytical Procedures and Tests of Details
466(12)
Auditing Accounting Estimates, including Fair Value Measurements
472(3)
Long-Term Liabilities and Related Accounts
475(1)
Stockholders' Equity: Substantive Procedures
476(1)
Auditing Stock-Based Compensation Plans
477(1)
Fraud Cases: Extended Audit Procedures
478(4)
Summary
482(1)
Key Terms
483(1)
Multiple-Choice Questions for Practice and Review
484(3)
Exercises and Problems
487(8)
Appendix 10A Internal Control Questionnaires
495(1)
Appendix 10B Substantive Audit Plans
496(4)
Chapter 11 Completing the Audit
Introduction
500(1)
Audit Timeline
501(2)
Procedures Performed During Fieldwork
503(11)
Completing Substantive Procedures
503(1)
Attorney Letters
504(3)
Written Representations
507(2)
Ability to Continue as a Going Concern
509(1)
Adjusting Entries and Financial Statement Disclosure
510(3)
Audit Documentation Review
513(1)
Subsequent Events and Subsequently Discovered Facts
514(4)
Subsequent Events
515(1)
Subsequently Discovered Facts
516(2)
Responsibilities Following the Audit Report Release Date
518(3)
Omitted Procedures
518(1)
Communications with Individuals Charged with Governance
518(2)
Management Letter
520(1)
Summary of Audit Communications
520(1)
Summary
521(1)
Key Terms
521(1)
Multiple-Choice Questions for Practice and Review
522(4)
Exercises, Problems, and Simulations
526(12)
Chapter 12 Reports on Audited Financial Statements
Introduction
538(1)
Overview of Auditors' Reports
539(4)
The Standard Report for Non-Issuers
540(2)
Types of Opinions
542(1)
Conditions that Require Modifications to the Auditors' Standard (Unmodified) Report
543(7)
Departures from GAAP
543(3)
Scope Limitations
546(4)
Audits of Group Financial Statements
550(3)
Auditors' Reports Referencing Other Matters Encountered during the Audit
553(4)
Consistency
553(1)
"Going-Concern" Uncertainties
554(1)
Other Information Included in Annual Reports
555(1)
Required Supplementary Information
556(1)
Other Modifications
556(1)
Summary: Emphasis-of-Matter and Other-Matter Paragraphs
557(1)
Other Reporting Topics
557(5)
Comparative Financial Statements
558(2)
Summary Financial Statements
560(1)
Supplementary Information
561(1)
Disclaimers of Opinion
561(1)
Summary
562(2)
Key Terms
564(1)
Multiple-Choice Questions for Practice and Review
565(3)
Exercises and Problems
568(13)
Appendix 12A Auditors' Reports for Issuers (Public Entities)
581(13)
PART THREE STAND-ALONE MODULES
Module A Other Public Accounting Services
Introduction
594(1)
Introduction to Attestation Engagements
595(1)
Attestation Engagements: Special Audit Reporting Considerations
596(4)
Special Purpose Frameworks
597(2)
Specified Elements, Accounts, or Items
599(1)
Compliance with Contractual Agreements or Regulatory Requirements
599(1)
Other Attestation Engagements
600(8)
Applying Agreed-Upon Procedures
600(1)
Prospective Financial Information
601(3)
Compliance Attestation
604(2)
Service Organizations
606(2)
Other Attestation Engagements and Summary
608(6)
Accounting and Review Services for Historical Financial Information
609(1)
Review Engagements
609(2)
Compilation Engagements
611(1)
Preparation Engagements
612(1)
Summary of Engagements on Historical Financial Information
613(1)
Assurance Services Engagements
614(3)
Scope of Assurance Services
614(1)
Trust Services
615(2)
The Future of Assurance Services
617(1)
Summary
617(1)
Key Terms
618(1)
Multiple-Choice Questions for Practice and Review
619(4)
Exercises and Problems
623(9)
Module B Professional Ethics
Introduction
632(1)
General Ethics
633(1)
An Ethical Decision Process
634(1)
Philosophical Principles in Ethics
635(3)
The Imperative Principle
635(2)
The Principle of Utilitarianism
637(1)
The Generalization Argument
637(1)
Virtue Ethics
637(1)
Ethical Codes of Conduct
638(4)
U.S. Securities and Exchange Commission (SEC)
639(1)
The Public Company Accounting Oversight Board (PCAOB)
639(1)
The International Federation of Accountants (IFAC)
640(1)
The Professional Ethics Executive Committee (PEEC) of the American Institute of CPAs (AICPA)
640(2)
An Emphasis on Independence
642(11)
American Institute of Certified Public Accountants
642(7)
SEC and PCAOB Independence Rules
649(3)
Other Effects of Sarbanes-Oxley on Auditor Independence
652(1)
Government Accountability Office (GAO) Independence Requirements
652(1)
AICPA Rules of Conduct: Integrity and Objectivity, Responsibilities to Clients, and Other Responsibilities
653(9)
Integrity and Objectivity Rule
653(1)
General Standards Rule
654(1)
Compliance with Standards Rule
655(1)
Accounting Principles Rule
655(1)
Confidential Client Information Rule
656(2)
Fees and Other Types of Remuneration
658(2)
Acts Discreditable Rule
660(1)
Advertising and Other Forms of Solicitation Rule
660(1)
Form of Organization and Name Rule
661(1)
Consequences of Violating the Code of Professional Conduct
662(3)
Self-Regulatory Discipline
663(1)
Public Regulation Discipline
664(1)
Summary
665(1)
Key Terms
666(1)
Multiple-Choice Questions for Practice and Review
666(5)
Exercises and Problems
671(10)
Module C Legal Liability
The Legal Environment
681(2)
Liability under Common Law
683(6)
Liability to Clients
683(1)
Liability to Third Parties
684(4)
Liability for Compilation and Review Services
688(1)
Liability under Statutory Law
689(4)
The Securities Act of 1933 (Securities Act)
690(1)
Section 11 Civil Liability
690(1)
Auditors' Defenses under the Securities Act
691(1)
Section 13 Statute of Limitations
692(1)
Section 17 Antifraud
692(1)
Section 24 Criminal Liability
692(1)
The Securities Exchange Act of 1934 (Securities Exchange Act)
693(4)
Section 10 and Rule 10(b)-5 Antifraud
693(1)
Section 18 Civil Liability
694(1)
Auditors' Defenses under the Securities Exchange Act
695(1)
Section 32 Criminal Liability
695(1)
Foreign Corrupt Practices Act (FCPA)
696(1)
Summary of Auditors' Liability to Clients and Third Parties
697(1)
The Changing Landscape of Auditors' Liability
698(6)
Sarbanes-Oxley
699(1)
Racketeer Influenced and Corrupt Organizations Act
700(1)
Aiding and Abetting
700(1)
Organization of Accounting Firms as Limited Liability Partnerships
701(1)
Proportionate Liability
701(1)
Class-Action Suits
702(1)
Auditors' Liability Caps
703(1)
Other Developments
703(1)
Summary
704(1)
Key Terms
705(1)
Multiple-Choice Questions for Practice and Review
706(5)
Exercises and Problems
711(11)
Module D Internal Audits, Governmental Audits, and Fraud Examinations
Introduction
722(1)
Internal Audits, Governmental Audits, and Fraud Examinations
722(1)
Internal Audits
723(7)
Internal Auditing Defined
723(2)
Types of Internal Audit Services
725(3)
Internal Audit Standards
728(1)
Internal Audit Reports
729(1)
Governmental Audits
730(7)
Governmental Auditing Defined
730(1)
Types of Governmental Audits
731(2)
GAO Government Auditing Standards
733(1)
GAO Audit Reports
734(1)
Single Audit Act of 1984 and Amendments of 1996
735(2)
Fraud Examinations
737(6)
The Art of Fraud Examinations
739(1)
Fraud Examiner Responsibilities
740(2)
Building a Fraud Case
742(1)
Protecting the Evidence
742(1)
Obtaining Litigation Support
742(1)
Summary
743(1)
Key Terms
744(1)
Multiple-Choice Questions for Practice and Review
745(3)
Exercises and Problems
748(10)
MODULE E Attributes Sampling
Introduction
758(1)
Planning (Steps 1-3)
759(2)
Step 1 Determine the Objective of Sampling
759(1)
Step 2 Define the Characteristic of Interest
759(1)
Step 3 Define the Population
760(1)
Performing (Steps 4-6)
761(7)
Step 4 Determine the Sample Size
761(6)
Step 5 Select the Sample Items
767(1)
Step 6 Measure the Sample Items
767(1)
Evaluating Sample Results (Step 7)
768(5)
Calculating the Upper Limit Rate of Deviation
768(2)
Making the Evaluation Decision
770(1)
Qualitative Evaluation of Deviations
771(1)
Using IDEA to Evaluate Sample Results
772(1)
Documenting
773(1)
Other Attributes Sampling Methods
774(1)
Summary
775(1)
Key Terms
776(1)
Multiple-Choice Questions for Practice and Review
777(3)
Exercises and Problems
780(13)
Appendix EA AICPA Sample Size Tables
793(2)
Appendix EB AICPA Sample Evaluation Tables
795(2)
MODULE F Variables Sampling
Introduction
797(1)
Definition of Variables Sampling
797(1)
Monetary Unit Sampling (MUS): Planning
798(2)
Steps 1-3 Planning
799(1)
MUS: Performing
800(6)
Step 4 Determine the Sample Size
800(4)
Step 5 Select the Sample Items
804(1)
Step 6 Measure the Sample Items
805(1)
MUS: Evaluating
806(5)
Step 7 Evaluating Sample Results
806(5)
Other Variables Sampling Approaches
811(2)
Documentation in Variables Sampling
812(1)
Summary
813(1)
Key Terms
813(2)
Multiple-Choice Questions for Practice and Review
815(3)
Exercises and Problems
818(11)
Appendix FA AICPA MUS Tables
829(2)
Appendix FB Classical Variables Sampling
831(11)
Appendix FC Nonstatistical Sampling
842(4)
MODULE G Data and Analytics in Auditing
Introduction
846(2)
Audit of the Future
848(2)
Data and Analytics
849(1)
Common Uses of Audit Data Analytics
850(7)
Risk Assessment Procedures
850(2)
Tests of Controls
852(1)
Substantive Analytical Procedures
853(2)
Tests of Details
855(2)
Conducting Audit Data Analytics
857(5)
Plan the ADA
857(1)
Access and Prepare the Data
858(1)
Consider the Relevance and Reliability of the Data Used
859(2)
Perform the ADA
861(1)
Evaluate the Results and Draw Conclusions
861(1)
Documentation Requirements
862(1)
Common Tools Used in ADA
863(1)
Professional Skepticism in ADA
864(1)
The Next Generation of Auditing
864(2)
External Big Data
865(1)
Artificial Intelligence
865(1)
Distributed Ledger Technology
865(1)
Summary
866(1)
Key Terms
867(1)
Multiple-Choice Questions for Practice and Review
868(2)
Exercises and Problems
870(12)
MODULE H Information Technology Auditing
Information Technology (IT) Systems
882(2)
Reliance on IT Controls
884(14)
Scoping the IT Audit Procedures
885(1)
Types of IT Control Activities
886(1)
General IT Controls
887(6)
Automated Application Controls
893(1)
Input Controls
894(1)
Processing Controls
895(1)
Output Controls
896(2)
Assessing Control Risk in an IT Environment
898(2)
Testing Controls in an IT Environment
900(3)
End-User Computing and Other Environments
903(3)
End-User Computing Control Considerations
903(2)
Service Organizations
905(1)
Computer Abuse and Computer Fraud
906(3)
Preventive, Detective, and Damage-Limiting Controls
907(2)
Computer Forensics
909(1)
Summary
909(1)
Key Terms
910(1)
Multiple-Choice Questions for Practice and Review
911(2)
Exercises and Problems
913(10)
Index 923
Timothy J. Louwers is the Director of the School of Accounting and KPMG Eminent Professor in Accounting at James Madison University.
Professor Louwers received his undergraduate and masters degrees from The Citadel and his PhD from Florida State University. Prior to beginning his academic career, he worked in public accounting with KPMG, specializing in financial, governmental, and information systems auditing. He is a certified public accountant (South Carolina and Virginia) and a certified information systems auditor. He is also certified in financial forensics.

Professor Louwerss research interests include auditors reporting decisions and ethical issues in the accounting profession. He has authored or coauthored more than 60 publications on a wide range of accounting, auditing, and technology-related topics, including articles in the Journal of Accounting Research, Accounting Horizons, the Journal of Business Ethics, Behavioral Research in Accounting, Decision Sciences, the Journal of Forensic Accounting, Issues in Accounting Education, the Journal of Accountancy, the CPA Journal, and Todays CPA. Some of his published work has been reprinted in Russian and Chinese. He is a respected lecturer on auditing and technology-related issues and has received teaching excellence awards from the University of Houston and Louisiana State University. He has appeared on both local and national television news broadcasts, including MSNBC and CNN news programs.





Penelope L. Bagley is the Department Chairperson and Kenneth E. Peacock Distinguished Professor of Accounting at Appalachian State University.

Professor Bagley received her undergraduate and masters degrees from North Carolina State University and her PhD from the University of Georgia. Prior to obtaining her PhD, Professor Bagley worked for a short time in the audit field. She is a certified public accountant in North Carolina. Professor Bagley teaches both undergraduate and graduate auditing courses. She has authored and coauthored publications on accounting and auditing topics in journals such as Auditing: A Journal of Practice & Theory, Accounting Horizons, and Behavioral Research in Accounting. She has also coauthored auditing cases, published in Issues in Accounting Education. Professor Bagley is active in the American Accounting Association and has served on various committees for the Auditing Section. Professor Bagley likes to spend time with her husband Matt and children, Garrett and Julianne. She enjoys exercising in her spare time, she regularly competes in running and triathlon races. Her crowning athletic achievement was qualifying for and running the 2019 Boston Marathon.





Allen D. Blay is an Associate Professor of Accounting at Florida State University. Professor Blay completed his PhD at the University of Florida in 2000. He teaches auditing at all levels and teaches a seminar in auditing research in the doctoral program. His research interests relate to auditor judgment and decision making. Professor Blay has authored or coauthored publications on a wide range of accounting and auditing topics in journals such as Contemporary Accounting Research, Auditing: A Journal of Practice and Theory, Organizational Behavior and Human Decision Processes, the Journal of Business Ethics, Behavioral Research in Accounting, Issues in Accounting Education, the International Journal of Auditing, and the Journal of Accounting, Auditing, and Finance. He is currently Associate Editor for Issues in Accounting Education and serves on several editorial boards. Professor Blay has been active in the American Accounting Association, serving on the auditing education committee and the annual meeting committee as Accounting, Behavior, and Organizations section chair, among other committees. He is also active in the American Institute of CPAs, serving in various volunteer roles relating to the Uniform CPA Exam. Prior to entering academics, Professor Blay worked in public accounting auditing financial institutions. He currently directs the accounting doctoral program at Florida State University.





Jerry R. Strawser  is Executive Vice President and Chief Financial Officer at Texas A&M University and holds the KPMG Chair in Accounting.

Prior to his current appointment, Professor Strawser served as dean of Mays Business School at Texas A&M University, interim executive vice president and provost at Texas A&M University, interim dean of the C. T. Bauer College of Business at the University of Houston, and Arthur Andersen & Co. Alumni Professor of Accounting.

Professor Strawser has coauthored three textbooks and more than 60 journal articles. In addition to his academic experience, he had prior public accounting experience at two Big Five accounting firms. He has also developed and delivered numerous executive development programs to organizations such as AT&T, Centerpoint Energy, Continental Airlines, ConocoPhillips, Halliburton, KBR, KPMG, Minute Maid, PricewaterhouseCoopers, McDermott International, Shell, Southwest Bank of Texas, and the Texas Society of Certified Public Accountants. Professor Strawser is a certified public accountant in the state of Texas and earned his BBA and PhD in Accounting from Texas A&M University.





Jay C. Thibodeau is the Rae D. Anderson Professor of Accounting at Bentley University.

Professor Thibodeau is a certified public accountant and a former auditor. He received his bachelors degree from the University of Connecticut in 1987 and his PhD from the University of Connecticut in 1996. He joined the faculty at Bentley in 1996 and has remained there. At Bentley, he serves as the coordinator for all audit and assurance curriculum matters. His off-campus commitments include consulting with the Audit Learning and Development group at KPMG.

Professor Thibodeaus scholarship focuses on audit judgment and decision making and audit education. He is a coauthor of two textbooks and has written more than 40 book chapters and articles for academics and practitioners in journals such as Auditing: A Journal of Practice & Theory, Accounting Horizons, and Issues in Accounting Education.

Professor Thibodeau served as the President of the Auditing Section of the American Accounting Association for the 2014/2015 academic year. He served on the Executive Committee for the Auditing Section from 2008 to 2010. He has received national recognition for his work five times. First, for his thesis, winning the 1996 Outstanding Doctoral Dissertation Award presented by the ABO section of the AAA. Three other times, for curriculum innovation, winning the 2001 Joint AICPA/AAA Collaboration Award, the 2003 Innovation in Assurance Education Award, and the 2016 Forensic Accounting Teaching Innovation Award. Finally, for outstanding service, receiving a Special Service Award from the Auditing Section for his work in helping to create the Access to Auditors program sponsored by the Center for Audit Quality.