the auditors ’ consideration of fraud and going-concern risk and the audit risk model（审计师的欺诈和考虑持续经营风险和审计风险模型）.pdfVIP

The Incremental Effects of Fraud and Going-concern Risk on Audit Procedures Allen D. Blay University of California, Riverside Tim Kizirian Craig and Joan Young Professor of Accounting California State University, Chico and L. Dwight Sneathen, Jr. Mississippi State University Draft: November 5, 2003 Preliminary draft, please do not quote without authors’ permission 1 The Auditors’ Consideration of Fraud and Going-concern Risk and the Audit Risk Model Abstract This study uses audit file data to analyze the relationship between the auditors’ preliminary assessments of going-concern and fraud risk and the planning and performance of the audit. We analyze the relationship between these risks and the auditor’s assessment of inherent and control risk within the revenue cycle. We also examine whether these risk assessments have an effect on the persuasiveness, timing and extent of audit evidence gathered beyond the components of the audit risk model (ARM). Our results indicate that both fraud risk and going-concern risk are significantly related to both inherent risk and control risk. In addition our results indicate that while fraud risk is substantially captured by the current audit risk model, going-concern risk remains significantly related to our proxies for the persuasiveness and timing of audit evidence after controlling for inherent and control risk. Key words: Audit risk, going-concern, fraud, audit evidence. Data availability: The data was obtained via a confidentiality agreement with the providing audit firm. As a result, revealing the identity of the providing firm and disse