Event Description

The Association of Certified Fraud Examiners says that there is fraud lurking in all businesses, including not-for-profit organizations. It often goes undetected for years and when uncovered, management and the board may question why the auditor did not identify it. The auditor’s responsibility in a financial statement audit is to assess risk and perform sufficient procedures to obtain reasonable assurance that the financial statements are free from material misstatement due to fraud or error. However, failure to perform an adequate fraud risk assessment and report deficiencies in internal control, such as lack of segregation of duties, can leave a firm vulnerable. This course will discuss the audit procedures that should be performed in accordance AU-C 240 as recently amended, best practices in performing fraud risk assessment procedures, when and how to report control deficiencies noted in an audit, and the most frequent types of fraud found in small to midsize entities along with internal controls that could be implemented to help prevent and detect them.

Designed For

CPAs in either public or private practice with accounting, financial reporting, or attest responsibilities

Objectives

Understand the drivers of fraud risk in a financial statement audit     Conduct procedures required by professional literature to assess the risk of fraud     Develop discussion points to review with management and those charged with governance  Identify the main types of fraud that occur in small to mid-sized companies and develop internal controls responsive to those risks     Evaluate fraud case examples and identify how fraud occurred and how it could have been prevented or detected

Major Subjects

The fraud landscape in the United States     Fraud risk procedures as updated by recently issued standards     Most likely fraud types found in small to mid-sized entities     Internal controls to prevent and detect fraud     What to do when fraud is identified or suspected     Case studies based on recent frauds     Cyber fraud schemes and how to prevent and detect them     Analytics that can be used as fraud risk procedures     Assessing the risk of grant fraud in a Single Audit

Prerequisites

none