How does the “stand-back” requirement improve risk assessment? The use of root cause analysis (Old ID 30042)
Role
Principal Investigator
Description
The “stand-back” requirement is a newly added provision found in global audit standards such as Australian auditing standard ASA 220 (Revised), ISA (UK) 240 and international auditing standard ISA 315 (Revised) (FRC 2022; IAASB 2019; AUASB 2021a; AUASB 2021b). The standards require an auditor to reconsider and re-evaluate whether all significant transactions, balances and disclosures have been identified once the risk assessment has been completed (AICPA 2020; KPMG 2020). We experimentally investigate whether the presence of “stand-back” requirement and the types of learning examples in root cause analysis can jointly influence auditors’ fraud risk assessment decisions.
Date
01 Jul 2023 - 30 Jun 2024
Project Type
GRANT
Keywords
auditor
Funding Body
Accounting & Finance Association of Australia & New Zealand
Amount
6000
Project Team
N/A