Question Description
Prompt: In this milestone, you will draft the remaining subsections of Section III (I and J) as well as Section IV of the final project regarding the fraud case Crisis at the Mill: Weaving an Indian Turnaround in one coherent paper. In the paper, you will discuss what preventive controls can be put into place to prevent this fraud type from occurring again as well as the recommendations you would make as an auditor to strengthen the company’s internal controls. Lastly, you will discuss the impact of the case on auditing standards, as well as legal, social, and economic impacts.
Specifically, the following critical elements must be addressed:
- Analysis of Fraud that Occurred
- What preventive controls can be put in place to prevent this type of fraud from happening again? Why would these be the most effective controls?
- As an auditor, what recommendations would you make to company management to strengthen their internal control system? Be sure to support your recommendations.
- Impact and Auditor Responsibility
- What was the impact of this fraud case on the auditing profession (regarding each of the following perspectives)?
- Professional (auditing standards)
- Legal
- Social
- Economic
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