Many of the times, external auditors are unable to detect corporate fraud as they are more focus towards financial audit. It has nothing to do with the competency level.
Forensic accounting work entails a different set of skills and experience besides the usual accounting skill whereas the financial audit is more to express an opinion […]

Audit planning is an important audit process which should not be overlooked in every audit assignment.
Some of the pertinent points we need to understand about audit planning are:
(a)    Understand  the need to do Audit planning:
This is basically to ensure that:
·     The audit is carried out in an effective, efficient and timely manner;
·     appropriate attention is devoted to […]

The responsibilities of the External Auditor are:

To express an opinion whether the financial statements give a true and fair view of the state of the company’s affairs and of the profit or loss for the year and whether they comply with the Companies Act and International Statements of Accounting Standard;
In order that the external […]

One major role of the external auditor is to ensure a true and fair of the financial statements. In line with this, is the going concern concept whereby it is critical that the continuing “survival” of the company be confirmed particularly if it has very high current ratio, gearing ratio and amount owing to […]

According to Business Times (9/8/06)
“The Supreme Audit Agency (BPK) has urged the Finance Ministry to revoke the business licenses of a number of accounting and appraisal firms due to malpractice and misrepresentation, the Jakarta Post said yesterday.”
BPK director Anwar Nasution refused to name the firms involved and quoted:

many accounting firms involved in […]