A critical overview is given of accounting regulation in Japan. The structure and functions of Japanese accounting regulation are analysed, and the principal factors leading to Japan′s unique form of regulation are discussed. Problems in Japanese accounting regulation are identified and are...

The auditor′s responsibility for detecting management fraud of a material nature is affirmed. Auditors are vulnerable to failure when they perform substantive procedures concerned with matters such as asset valuation. Some auditors have tended to “audit to” management representations, a...