Integrating business risk into auditor judgment about the risk of material misstatement: The influence of a strategic-systems-audit approach

Autor:	James L. Bierstaker, Joseph J. Schultz, Ed O'Donnell
Rok vydání:	2010
Předmět:	IT risk management Organizational Behavior and Human Resource Management Information Systems and Management Actuarial science Sociology and Political Science business.industry Accounting Business Audit Laboratory experiment Audit risk Business risks
Zdroj:	Accounting, Organizations and Society. 35:238-251
ISSN:	0361-3682
DOI:	10.1016/j.aos.2009.07.006
Popis:	Auditing standards direct auditors to consider business risk and other risk factors when they evaluate the overall risk of material misstatement during the planning phase of an audit. Large audit firms generally use either a strategic-systems approach (SSA) or a transaction-focused approach (TFA) to evaluate misstatement risk. This study used data from a laboratory experiment to examine whether (1) being trained to use either SSA or TFA and (2) analyzing information organized in an SSA or TFA format influence the extent to which auditors integrate knowledge of business risk into their judgment about the likelihood of financial misstatement. Only auditors trained to use SSA who analyzed information provided in an SSA format effectively integrated business risk assessments with their assessment of the risk of material misstatement.
Databáze:	OpenAIRE
Externí odkaz:	https://explore.openaire.eu/search/publication?articleId=doi_________::d9cc3524ffaa6d3827f55651282b8d94 https://doi.org/10.1016/j.aos.2009.07.006 Zobrazit plný text záznamu Full Text from ScienceDirect