Got a tricky question? Receive an answer from students like you! Try us!

Investigate the expectation of the users of financial statement from the auditors in case of Saudi Arabia - Dissertation Example

Only on StudentShare
Masters
Dissertation
Finance & Accounting
Pages 83 (20833 words)

Summary

This research examines and analyzes accounting guidelines and practices implemented in the Kingdom to determine their suitability in terms of ensuring the elimination of the auditing experiences gap as well as their appropriateness to the experience of the country. …

Extract of sample
Investigate the expectation of the users of financial statement from the auditors in case of Saudi Arabia

‘Investigate the expectation of the users of financial statement from the auditors in case of Saudi Arabia’ startes with the description of the concept of the auditing experiences gap as well as the most common elements that contribute to the formation of the latter. The results also focused on the most common recommendations that previous researchers have identified which they have considered as effective in terms of eliminating, or at least, narrowing the audit expectations gap. However, as the literature suggested, the said recommendations were determined based on the experiences of developed countries rather than focusing on the factors that affect developing societies that usually adhere to different societal worldviews. This is of utmost importance in this study taking into consideration, the fact that a different worldview exists in the Kingdom of Saudi Arabia as it is a Muslim country, adhering to the principles of Shari’ah Law. The literature review also highlighted the main facets of the Saudi society. It was clearly established that the latter is governed by a different ideology as well as by a different legal system. These factors have then contributed significantly to the expectations of the users of financial statements as well as to the practice of the auditors per se. Cogently, the theoretical background adopted in this study emphasizes the importance of taking the said factors into consideration so as to properly understand the expectations of the users of financial statements as well as auditing expectations gap existing in the country.

...
Download paper
Not exactly what you need?

Related Essays

The Impact of Corporate Governance Disclosure on the Financial Reporting Practices in a Developing Country: Saudi Arabia.
Nevertheless, lately the definition of corporate governance has gained a broader connotation and is denoted as the legal as well as corporate set of regulations and measures that symbolize the principles and procedures which are exercised to govern the corporate organizations. The standards of corporate governance by and large assist in making sure that the aspects of the allocation of power in an organization are well maintained and there exists accountability amongst the management. The most significant contributor of corporate governance comprise of the Board of Directors as well as the…
36 pages (9036 words)
Summary of findings Saudi Arabia
The study was guided by the theoretical framework defined under the Technology Acceptance Model and the Innovation Diffusion Theory. TAM incorporated perceived ease of use, perceived usefulness, intention to use, and usage behaviour (Khosrow-Pour, 2006). On the other hand, Innovation Diffusion Theory enumerates stages through which innovation diffusion is introduced into society – awareness, early adoption by innovators, assessment and endorsement by opinion leaders, and finally acceptance by the general public (Baran & Davisi, 2011). …
6 pages (1506 words)
Financial Statement Fraud Schemes
This case involves several characters, namely; Mr. Karina Ramirez, the director internal auditor at Apollo Shoes Company, the engagement manager Mr. -Darlene Ward law, Mr. Arnold Anderson the engagement partner and the intern Bradley Crumpler (Timothy, Loretta, & Kenneth, 2011). The communication in this company entails the use of email messages because physical interaction is limited between the employees (Timothy, Loretta, & Kenneth, 2011). Based on this case it can be scrutinized that the company accountants has not been ensuring that all items are properly recorded for easy audit.…
4 pages (1004 words)
Financial Statement Fraud
Since the perpetrators of financial statement fraud may be outsiders who collaborate with certain account department employees, it is imperative for concerned organizations to carry out surprise financial audits regularly to detect and prevent any potential incidences of financial statement fraud. This paper focuses on revenue recognition fraud by examining the background, real-time incidence, detection, and statistics related to revenue recognition fraud. Background of revenue recognition fraud Commonly known as timing schemes or improper treatment of sales, this category of financial…
3 pages (753 words)
Mini Case: "Financial Statement and Cash Flow
Free cash flow= cash from operations- capital expenditures The free cash flow represents the financial ability of the company; that is its ability to engage in investment activities that goes beyond the planned investment activities (Walter, Harrison, & Horngren, 2003). However, noting that many investment activities of companies are quite significant, caution should be taken when implementing any investment activity that falls above the budgeted investments. Cash from operations is also referred to as earnings before interest net of depreciation and amortization. Therefore; Free cash flow=…
6 pages (1506 words)
Mini Case: "Financial Statement and Cash Flow
cash flow of the company is $ 2511822. 2) Liquidity position of Jaedan The liquidity position of a firm helps in determining its ability in meeting up the short term obligations without any strain. The liquidity of a firm contributes to its profitability. Liquidity Position of Jaedan is given as below:  Current Ratio Jaedan Industry Average Year 2009 2010 2009 2010 Current assets 10535819 15066000     Current liabilities 3980000 4342000     Current Ratio 2.65 3.47 2.89 3.26 The current ratio of Jaedan for the year 2009 and 2010 is 2.65 and 3.47. Quick Ratio Jaedan Industry Average Year…
6 pages (1506 words)
Role of Banks in Real Estate Financing in Saudi Arabia
The real estate boom in the Kingdom of Saudi Arabia has attracted banks to fund the projects in this sector. Banks financing real estate create a win-win scenario for the owners as well as the banks. There are other financiers in real estate including the Saudi Arabia Government. The terms and conditions for the banks and other real estate financiers vary depending on the project and location. Banks have been playing an important role in financing real estate sector in Saudi Arabia increasing the current boom in the sector, lending banks and the real estate owners profit from this arrangement…
11 pages (2761 words)