The Internet bubble has collapsed and the largest bankruptcy in US history, Enron, has made the call for greater transparency in financial reporting more important than ever. Andrew Higson draws attention to what is a 'true and fair view' in reporting and critically examines accounting theory...

Purpose: This study aims to explore methods that external auditors can use to assess the rationalization of fraud in fraud risk assessment in auditing. Design/methodology/approach: An online questionnaire was used to collect data from 150 Big 4 auditors. Findings: The results reveal a total of...

Purpose: This paper aims to explore the perceptions of external auditors’ on the motivations behind management fraud, which could increase the likelihood of detecting financial reporting fraud. Design methodology/approach: Mixed research methods, namely, an online questionnaire and...

Fraud is a major concern for investors, regulators, and external auditors. Of particular concern is asset misappropriation because it was given less attention in prior audit literature as well as the audit practice though it is the most common type of occupational fraud. This motivated the...

Purpose The study aims to explore the reasons behind external auditors' failure to detect and report fraud. Design/methodology/approach Semi-structured interviews were conducted with twenty-four experienced Big 4 auditors. Findings The present study reveals power issues within audit firms and...

Purpose Using a qualitative grounded theory approach, this study explores the methods experienced external auditors use to detect fraudulent financial reporting (FFR) during standard audits. Design/methodology/approach Semi-structured interviews were conducted with 24 experienced external...