An experienced auditor knows the procedures associated withassessing fraud or other inherent risks. In...

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Accounting

An experienced auditor knows the procedures associated withassessing fraud or other inherent risks. In today's scandal-riddenfinancial environment, an auditor's ability to spot the trappingsof potential hidden problems in an audited entity's internalcontrol system is essential.
Discuss and contrast the issues surrounding the implementationof a comprehensive internal control structure in a largecorporation and in a small family-owned business with only sixemployees. Your discussion needs to consider the limitations ofsystems in both a large company and a small company and theconstraints of cost-benefit.

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In a closed held family business where there are only six employees will have less transactions The audit requirement may be cursory in nature and the frequency may be less also because the impact of a mistake is generally less See Answer

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In: AccountingAn experienced auditor knows the procedures associated withassessing fraud or other inherent risks. In today's...An experienced auditor knows the procedures associated withassessing fraud or other inherent risks. In today's scandal-riddenfinancial environment, an auditor's ability to spot the trappingsof potential hidden problems in an audited entity's internalcontrol system is essential.Discuss and contrast the issues surrounding the implementationof a comprehensive internal control structure in a largecorporation and in a small family-owned business with only sixemployees. Your discussion needs to consider the limitations ofsystems in both a large company and a small company and theconstraints of cost-benefit.