Audit Techniques & Inventory Fraud Detection In Accounting Information Systems

Abstract

The purpose of this study was to investigate the effectiveness of audit techniques in detecting fraud.  Eighty-six auditors evaluated each of 565 audit techniques it he Inventory and Warehousing Cycle as being “more”, “average”, or “less” effective in detecting management fraud in accounting information systems.  These 56 audit techniques are used to collect evidence regarding inventory which provides, in part, the basis of the auditor’s reports.  This study surveyed three different types of auditors.  The perceptions of fraud detection effectiveness of five specific audit techniques varied among the different types of auditors.