Auditing & Accounting Ethics Essay Example | Topics and Well Written Essays - 5750 words

Auditing & Accounting Ethics - Essay Example The concept of auditor independence during this era did not conceive of auditors as advocates for audited entities; British investors explicitly forbade auditors from investing or working in the businesses that they audited. At the same time, as long as auditors maintained their primary loyalty to the investors back home, the scope of professional accounting services could be reasonably broad. For example, auditors were permitted to keep the books and prepare the financial statements for the entities they audited (Hayes, Dassen, 2005 p.87). At the same time that independence requirements are becoming increasingly important, the auditing profession is tilting a changing landscape that is requiring the profession to face complex and difficult issues. Two of these changes have particular relevance for auditor independence: First, there has been a dramatic escalation in competition to obtain and hold onto auditing business. And second, auditors now often find themselves part of huge national (even multinational) organizations that offer a literal supermarket of nonaudit services and present greater opportunities for potential conflicts of interest. Let me discuss each of these phenomena in turn (Hayes, Dassen, 2005 p.87-88). An honest auditor will behave like someone who is independent, using independence to mean an attitude of mind that does not allow the viewpoints and conclusions of its possessor to become reliant on or subordinate to the influence and pressures of conflicting interests. There is an expectation that the auditor will have performed an audit that will have reduced the chances of a successful negligence lawsuit to a level acceptable to the auditor. In the language of economics, the auditor will perform audit work until the cost of undertaking more work is equal to the benefit the auditor derives in terms of the reduction in the risk of a successful lawsuit being possible. This then represents the minimum amount of work that the reader can expect the auditor to perform. However, all auditors are individuals with different attitudes to risk and return and so one auditor's minimum standard of audit work will not necessarily be that of a colleague (Hayes, Dassen, 2005 p.88). This economic argument, while logical, would be unsustainable if certain auditors took advantage of the general presumption regarding auditor independence in order to obtain increased market share. In other words, for the economic argument to be effective, complete compliance with the principle of auditor independence would be required. In a general sense, auditor independence has borne a relationship to the prevailing commercial environment in different time periods.

Understanding Management Information Assignment

Understanding Management Information - Assignment Example This report intends to examine and portray the trend witnessed in the UK Tablet PC market, especially in respect of the preferences deciphered by young students aged between 18 years to 35 years and assist PG Communication LTD, a communication equipment producing company, to develop and launch innovative Tablet PCs in the UK. With enhanced features and operational efficiencies, Tablet PCs have thus emerged in the market segments of the UK and worldwide as dominating technological gadget. There are various factors which include simplicity, battery life and multi-tasking facility on the basis of which Tablet PCs are used for household, business and education purposes. Presently, Tablet PCs are used immensely by students and educational institutes with the objective of improving the education system, being strongly influenced by the notion of real-life learning, rather than focusing on traditional classroom learning merely (Korkmaz & et. al., 2012). Accordingly, the objective of this pa rticular research study is to determine the market conditions for Tablet PCs in the UK and accordingly devise appropriate strategies on the basis of which PG Communication LTD can launch Tablet PCs for students in the UK. Research Method Data for this particular research study were collected from secondary sources primarily. According to the report published by TechSciResearch (2011), the statistical results signified that Tablet PCs are the emerging technological gadgets in the electronic market segments. Tablet PCs have immense demand in the worldwide market segments. ... On the basis of quantitative descriptive research approach, apart from the secondary sources, the research findings have also been postulated on the basis of primary data, collected with the application of a questionnaire survey. The sample size for the questionnaire survey was 100 who were selected from the population comprising UK students aged between 18-35 years, i.e. the targeted customers of PG Communication LTD. To be noted, both the primary and secondary data collection methods used in this study possesses particular advantages and disadvantages which has been depicted in the section below. Secondary Sources Primary Sources Advantages The data collected through secondary method are determined to be cost as well as time efficient Secondary data are readily available which may assist in acquiring adequate information in an efficient manner (Parasuraman & et. al., 2006) Obtained first-hand, the data collected from primary research are more appropriate as well as reliable source of information for research study as compared to the secondary data (Wiid & Diggins, 2010) Disadvantages The data collected from secondary data may be out-of-date (Parasuraman & et. al., 2006) The primary data collection method is time consuming and expensive The researches should be experienced and unbiased while collecting information which requires high interpretive skills within the researcher (Wiid & Diggins, 2010) Analysis Secondary Research According to the report published by TechSciResearch (2011), the statistical results signified that Tablet PCs are the emerging technological gadgets in the electronic market segments. Tablet PCs have immense demand in the worldwide market segments. Moreover, the report states that