...Entity-level controls are tested by the auditor to conclude whether the company has effective internal control over financial reporting. Entity controls vary in nature and include; Controls that are related to the control environment- the editor must evaluate the control environment of the company because they are important they are important to effective internal control over financial reporting. The following is assessed as part of evaluating the control environment; whether there is promotion of effective internal control over financial reporting by the management’s philosophy and operating style, whether there is development and understanding of the sound integrity and ethical values particularly on top of management, and whether there is exercising and understanding of the oversight responsibility over financial reporting and internal control by the Board or audit committee. Certain control environment controls, have an important, but indirect, effect on the likelihood that a misstatement will be detected or prevented on a timely basis. These controls might affect the other controls the auditor selects for testing and the nature, timing, and extent of procedures the auditor performs on other controls. Controls over management override- these are important to effective internal control over financial reporting for all companies, and may be particularly important at smaller companies because of the increased involvement of senior management in performing controls and in the...
Words: 1364 - Pages: 6
...Audit Strategy and Audit Program 1) Inspection of Records and Documents a. Nature: To examine the various records (called Documentary Evidence) that support the activities of a business and its accounting information system. b. Purpose: To determine if records are to be considered reliable and if so, whether to use them in the audit. c. Engagement risk is increased: The auditor would want to want to place a heavier reliance on documents prepared or reviewed by those outside of the business (ex: the bank associated with the business). d. Inherent risk is increased: The determination of reliability must be done with a much greater deal of care, as there is now a higher chance of material misstatement. e. Control risk is decreased: The auditor would be able to place a heavier reliance on documents created and used internally (i.e. not reviewed by outsiders). 2) Inquiry of knowledgeable persons within or outside the entity a. Nature: To obtain sources of information (ex: personnel, attorneys, customers, etc.) upon which the auditor may make inquiries pertaining to various aspects of the audit engagement. b. Purpose: To gain insight on the material upon which a business is being audited. c. Engagement risk is increased: The need for written representation from clients becomes much higher. As there is an increased risk of liability, oral representation would not provide the evidence needed to prove innocence. d. Inherent risk is increased: The auditor would pay special...
Words: 938 - Pages: 4
...The fundamental Principles ( COBIC ) Integrity Members should behave with integrity in all professional, business and personal financial relationships. Integrity implies honesty, fair dealing and truthfulness. Objectivity Members should strive for objectivity in all professional and business judgments. Objectivity is the state of mind which has regard to all considerations relevant to the task in hand or fair judgment. Professional competence Members should not accept or perform work which they are not competent to undertake unless they obtain such advice and assistance as will enable them competently to carry out the work. Confidentiality Be prudent in the use and protection of information acquired in the course of duties. Not to use information for any personal gain or in a way that would be contrary to the law or detrimental to the ethics. Professional behavior Members should behave with courtesy and consideration towards all with whom they come into contact during the course of performing their work. Ethical threats Self-interest threat It occurs when auditor could benefit from a financial interest in an audit client. Self review threat It occurs when the audit from a member or audit team put itself in a position of reviewing the subject that previously the member is responsible Familiarity threat It occurs when auditor has a close relationship with the client Advocacy threat It occurs when the audit from a member of the audit team promotes/support...
Words: 6177 - Pages: 25
...Thomas Dobson Professor Perez Literature 221 25 August 2013 Naturalism When must people think of naturalism they think of nature, and people who love the nature. That is not what naturalism is when it comes to literature. Naturalism is where the character in a story are caught in the forces of nature, and they have no control of their situation. Both Stephen Crane and Jack London did a great job with their short stories when portraying the writing style of naturalism. “The Open Boat” by Stephen Crane four men are on a boat when bad weather approaches them. They have to work together in order to survive this. In “To Build a Fire” by Jack London a man is at war with everything that the nature is putting in his path. He has no control at what is being thrown at him. The short story “To Build a Fire” by Jack London is about a man trying to escape death. The man is in Alaska, and decides to go on a walk with his dog. He is new to the area, and does not understand how bad the conditions really are. The man is supposed to meet up with a few friends at six o’clock. It starts getting colder, and the conditions are starting to worsen. The man falls down, and the snow gets him wet all the way up to his knees. So, he starts a fire to dry himself off, but the ice falls from a tree and kills the fire. He is not able to build another fire. By this point he is beginning to become frostbitten. He has a plan to kill his dog, and stuff his hands inside the dog to rebuild his circulation...
Words: 975 - Pages: 4
...to rule, but we didn’t care: we wanted to have dominion. Every man and woman is born with the same desire. Some can control it, but some follows this desire. This feeling is presented trough the texts “Selling our land” and “Dominion over Nature”. The white man is described as a stranger who comes in the night to take from the land whatever he needs, and it is because the earth is the enemy to the white man, and when he has conquered it he moves on. He considers the world as his own. Chief Seattle describes the white man’s carelessness like this: “His appetite will devoir the Earth and leave behind only a desert”, and that the white man thinks he can buy a land, even though he doesn’t own it. Chief Seattle’s attitude to nature is positive, but his opinion on the white man’s attitude to the nature is very negative. But shall the nature take dominion over us, or shall we take control over nature? The desire of being the greatest is clarified by Robert Pack trough this quote “Taking dominion over nature, finally, means that we will have nothing left but our species-centered self-idolatry to be inspired by and to worship”. If we take control over nature it might become misty and dark as David Simonds picture “How green is our Tony?” The picture illustrates Tony Blair’s dominion over nature, and how it would become if we don’t let the nature control us. Han forklarer gennem...
Words: 352 - Pages: 2
...Most people wonder about free will. Does human have free will? This question brings controversial between many philosophers. The reason is there are many aspects about free will. Some philosopher like Sartre claim that humans have absolutely free will, and others philosophers like LaPlace argued that free will is just an illusion, and humans are not free. Determinism is those who believe there is no free will. Determinism claim that there is no such a thing free will. Everything that happen to human are based on the casual law of nature and previous events. Determinism also claim that we have no control over our actions because law of nature is forces us to do things. They support their claim if humans have no control over their action,...
Words: 284 - Pages: 2
...misstatement will occur * The characteristics of the class of transactions, account balance, or disclosure involved * The nature of the specific controls used by the entity, in particular, whether they are manual or automated * Whether the auditor expects to obtain audit evidence to determine if the entity’s controls are effective in preventing or detecting material misstatements. 2. Additional information needed to complete an assessment: * The nature of further audit procedures * The timing of further audit procedures * The extent of further audit procedures * The nature of tests of controls * The timing of tests of controls * The extent of tests of controls * The nature of substantive procedures * The timing of substantive procedures * The extent of substantive procedures 3. Communications required to be made to those charged with governance: * A statement that the purpose of the auditor’s consideration of internal control was to express an opinion on the financial statements and not to express and opinion on the effectiveness of the entity’s internal controls * A statement that the auditor does not express an opinion on the effectiveness of the entity’s internal controls * A statement that the auditor’s consideration of internal control was not designed to identify all deficiencies or material weaknesses * A definition of material weakness and, where relevant...
Words: 297 - Pages: 2
...a slight, yet important modification (AOK 196, 224). Stoicism arose from Antisthenes’ Cynicism, using its foundation that the main personal pursuit was happiness was within the soul and that one had to use “rational control of all desires and appetites” (AOK 194). The Cynics, greatly influenced by Socrates’ lifestyle, had disdain for civilization for it weakened and corrupted the soul. They eventually turned away from everyone, becoming individualistic instead of brotherly. Their attention to happiness, or averting of unhappiness, was solely personal and showed their mistake of establishing their ideology on a “savage and uncultured nature,” instead of “a developed civilized nature” as the Stoic have (TSC 184) However, Cynicism had taught Diogenes who became the living icon of the cynical ideology “the less an individual needs to be happy, the less vulnerable he or she is,” becoming a moral hero along Socrates (AOK 113). Through an amalgam of Socratic virtue, Heraclitus’ fire, Aristotle’s logic, and Cynicism, Zeno founded early Stoicism in Athens. Specific to the Stoics was their emphasis on living in unity with nature, and that something which is good is necessarily good for its bearer at all times (SEP 3). Nature can be discerned into two categories, nature as a whole and...
Words: 1929 - Pages: 8
...think: what exactly is violence? Is it simply an action, or is it a state? I believe that violence can be a series of actions which an individual in a violent state may take. Violence is a physical and emotional state which holds various categories of intensity and origins. Bill Buford, in his novel Among the Thugs: The Experience, and the Seduction, of Crowd Violence, describes the experience and observations made of violence, namely within the masses of football teams. The human inclination towards control and dominance is a contributing factor towards most violence. Violence, from my interpretation of Buford's novel, holds its main origins from a spontaneous and irrational desire to establish either control or dominance over a certain event. The potential for spontaneous violence is innate within humans, but humans are not inclined towards violence by itself. The trigger for violence, as Buford notes, can suddenly occur from participation in mass events and the competitive nature of such events (namely, European football in his case.) When such violence is triggered in an individual within such a competitive atmosphere, there is a high chance that the rest of the mass group will follow suit; divisive physical violence (such as pulling or pushing) will cause a chain reaction escalating into a higher level of dangerous violence and a greater risk for potential injury. For example, Buford describes the surges of crowds after a spontaneous violent act (stabbing, in the case of p...
Words: 1367 - Pages: 6
...provide candidates with a greater depth of understanding of auditing concepts. Examination Objectives The objective of the 4-hour comprehensive examination is to test CGA candidates on the prerequisite knowledge required for advancement into PA1 and PA2, so as to ensure that the candidates have the broad-based knowledge in assurance needed to function properly in the association’s capstone courses. Examination Guidelines for Questions i) Question Type The following are guidelines on the type of questions and their approximate weightings: Percentage Weighting 20-30% 70-80% Question Item Multiple-choice questions Short-answer and/or short case-type problems and/or a longer case-type problem of both a qualitative and quantitative nature. Description...
Words: 7165 - Pages: 29
...literal level- the hawk celebrating itself and its power and control over nature. Hughes begins the poem by writing ‘I sit in the top of the wood, my eyes closed’ which comments on where the hawk sits in the food chain; at the top, and also suggests that as well as being the ruler of nature he rules blind. Further down in stanza 3 and 4 Hughes portrays the Hawk as almost godlike as he includes a link with the idea that god creates and is in control of life and death. ‘I kill where I please because it is all mine’ reveals how the Hawk believes he owns and holds everything, including life and death, in his claws. The Hawk sees himself as omniscient and everything else as its prey. Similarly, the lines ‘It took the whole of creation to produce my foot, my feather; now I hold creation in my foot’ (line12) demonstrate how he was created by nature and now he is in control of it. Again in stanza 4, we were told that the Hawk has ‘no sophistry in his body’ meaning that all his actions are justified. How it is his nature to be violent and aggressive (portrayed in the line ‘my manners are tearing of heads’) and that there is no animal above him who could challenge him (portrayed in the line ‘no arguments assert my right’), therefore he has the control to do whatever he likes with out any competition. Finally, the Hawks arrogance is demonstrated mainly in the last stanzas where he states that the sun- the embodiment of nature itself- is behind him and supports his actions. However...
Words: 509 - Pages: 3
...September 2011 (updated January 2012) Effect analysis IFRS 10 Consolidated Financial Statements and IFRS 12 Disclosure of Interests in Other Entities In The IASB’s approach to effect analysis Before we issue new requirements, or make amendments to existing IFRSs, we consider the costs and benefits of what we are proposing. This includes an assessment of both the costs incurred by preparers of financial statements and the costs incurred by users of financial statements when information is not available. We also consider the comparative advantage that preparers have in developing information that users would otherwise have to develop themselves. What is the measurement bar for our assessment? We expect our standards to have economic effects, and we understand that those effects may be beneficial for some entities and detrimental to others. For example, a change in financial reporting requirements might affect the cost of capital for individual entities by changing the absolute or relative level of information asymmetry associated with those entities. We assess these associated costs and benefits by reference to the overall objective of financial reporting. We try to understand how the changes will contribute towards the development of a single set of high quality global accounting standards by improving the allocation of capital. We therefore also consider the benefit of better economic decision-making as a result of improved financial reporting. The boundaries of our assessment ...
Words: 14620 - Pages: 59
...Psychologists have argued for many centuries about the influences of nature and nurture on the personality of humans. What is nature and nurture? Nature is referring to your genetic background, or what is passed down from your parents. Nurture refers to what you learn throughout your life. Does nature or nurture form and create your personality? Nature, as defined by psychologists, is your genetic background. When you are born, you obtain certain genes and traits from both your mother and father. Some psychologists believe that this is what forms your personality. Science has discovered that these coding of genes forms your eye color, hair color, nose size, and other physical traits. In a recent experiment, scientists found fraternal twins that were separated at birth. The twins went on to...
Words: 530 - Pages: 3
...On first glance, Forbidden Planet can easily be seen to parallel many other works relating to technology, nature, or both. One of the most obvious parallels is, of course, to Shakespeare's The Tempest, the story of a man stranded on an island which he has single-handedly brought under his control through the use of magic. Indeed, the characters, plot, and lesson of Forbidden Planet mirror almost exactly those of The Tempest, with the exception that where The Tempest employs magic, Forbidden Planet utilizes technology. At this point, it is useful to recall one of Arthur C. Clarke's more famous ideas, which is that any technology, when sufficiently advanced, is indistinguishable from magic. Indeed, the technology presented in Forbidden Planet is not meant to be understood by the audience, but rather is, for all intents and purposes, magic. This is undoubtedly in part because the technology doesn't exist and therefore cannot be explained to us. What is more important, however, is that how the technology works is irrelevant for the purpose of the movie, which is to entertain and to teach us a lesson about man's control over the elements and over his own technological creations. At this point a brief synopsis of the movie would seem to be in order, with special attention as to how it relates to The Tempest. In The Tempest, a man named Prospero and his daughter Miranda have been exiled to a remote...
Words: 800 - Pages: 4
...cultural origins, and so is management. • Also, different notions of organizations (relationships vs. tasks) and different HRM practices based on motivations of employees (intrinsic vs. extrinsic). • Good management is culturally sensitive management: best fit between people’s motivation and tasks. • Sensitivity towards invasion of foreign companies and their business ideologies and practices. 2. Despite technological & economic forces for integration/convergence, there are equal or greater forces for fragmentation, one of them being culture. Culture as a source of competitive advantage/disadvantage • Culture can provide source of competitive advantage (Michael Porter): availability of resources, size and sophistication of the market, nature of government intervention and type of strategic linkages/networks. Culture & institutional...
Words: 6347 - Pages: 26
